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Lululemon founder to reduce his holdings by $215 million

July 6, 2013 at 11:20 AM

VANCOUVER, British Columbia, July 6 (UPI) -- Canada's Lululemon Athletica, maker of yoga clothing, said in a filing its founder, Dennis Wilson, planned to sell $215 million of his stock.

The filing said Wilson could sell 3.4 million shares, which would reduce his holdings in Lululemon from 27.75 percent to 25.41 percent, The Wall Street Journal reported Saturday.

Major sales announcements by Wilson and by departing Chief Executive Officer Christine Day, as well as Day's departure itself, have battered the company's share value recently, the Journal said.

Wilson had already filed for a planned sale of $50 million worth of his shares in June, which allowed him to sell shares based on insider information, the Journal said.

Four days after that sale, Day announced she would leave the company to allow new leadership to take it to the next level.

Day sold $20 million in Lululemon stock in June, reducing her holdings to about $2.2 million, Standard & Poor's CapitalIQ data show.

Lululemon shares fell 1.5 percent in value to $63.55 per share after Wilson's second stock sale was announced.

Company stock values fell in March when a popular style of Lululemon yoga pants was recalled as the fabric was too see-through, the Journal said. The company fixed the problem quickly and shares recovered but share prices plummeted 17 percent June 10, after Day said she was leaving the company.

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