Australian billionaire Brett Blundy, the owner of investment firm BBRC International, has penned a letter to Victoria’s Secret shareholders calling for the removal of its chair, Donna James, and board member, Mariam Naficy.

BBRC first invested in the lingerie retailer in 2022, before increasing its stake to 13 per cent by April last year. Its portfolio also includes the Blundy-founded Lovisa and the recently acquired Best & Less Group.

“We are concerned that the board’s interests are not aligned with shareholders because of its limited financial exposure to the decisions it makes,” Blundy said in his letter.

“Over the duration of our investment, the company’s shares have underperformed the S&P 500 Consumer Discretionary Distribution & Retail Index by approximately 92 percentage points.”

Blundy attributed this underperformance to the board’s “ineffective oversight of management”. He said Donna James, who has been in post for 25 years, is “incompatible with good governance” due to her lengthy tenure.

He called for shareholders to vote against the re-election of both James and Naficy, something he claimed would help create a board that matches the ambition of CEO Hillary Super.

“We believe that a board without them will bring fresh judgment to capital allocation, free management to focus on the core business rather than optimising a failed acquisition and attract directors with the expertise this next phase demands,” Blundy added.

“These are not changes that disrupt the turnaround. They are changes that accelerate it.”