07:36 AM EDT, 03/20/2024 (MT Newswires) -- Browning West, LP, a long-term shareholder of Gildan Activewear Inc. ( GIL ) and that owns 5.0% of its outstanding shares, issued a statement Wednesday regarding Gildan's confirmation that it has initiated a sale process.

Browning West is "naturally concerned that the Board has initiated a sale process in order to avoid accountability following continuous and growing support for Browning West's calls for significant Board reconstitution." The rumoured US$42 per share from a potential buyer is a low price, since if former president and CEO Glenn Chamandy had not been terminated and the stock had simply performed in line with the most relevant index, it would be worth approximately US$42 per share today. "We believe that the stock will recover to at least this level after our experienced and credible slate is elected in May, and it could, in our view, be worth multiples of that level over the long term."

A reconstitution of the Board is "immediately" required, especially since the current Board is a "lame duck" (as can be seen via the botched CEO succession process) and poorly positioned to evaluate any offers, Browning West said.