Charney Ups American Apparel Inc (APP) Stake to 43%

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Charney Ups American Apparel Inc (APP) Stake to 43%
American Apparel

The Board of directors of apparel retailer American Apparel Inc (NYSEMKT:APP) and ousted founder Dov Charney are continuing to trade blows in their bizarre battle for control of the firm. Former CEO Charney, who has been dogged by sexual harassment claims for years, was fired by the the BoD a few weeks ago with cause. Tuesday, July 1st, Charney announced he has upped his stake in the firm from 27.2% to 42.98% (as of Friday) and also called for a special meeting of stockholders on September 25th.

American Apparel recently adopted shareholder rights plan

When it became clear that Charney was not going to go without a fight, the BoD of American Apparel Inc (NYSEMKT:APP) adopted a stockholder rights plan designed to prevent ousted CEO Dov Charney from taking back control of the company he founded.