A company with a $10 million stake in troubled surfwear brand Billabong has requested a general meeting of shareholders - calling for the removal of its directors.
Billabong has revealed Coast Capital International, which last month purchased a five per cent stake in the company, has called the meeting to consider various resolutions.
These include calls for member approval of future debt or equity financing arrangements; the appointment of persons representing Coastal Capital International to the board; and the removal of current directors, other than founding shareholders Gordon Merchant and Colette Paull.
Last month, Billabong entered into a A$529.13 million refinancing arrangement with US private equity group Altamont Capital Partners.
Billabong is also considering a rival offer from US hedge funds Centerbridge and Oaktree.
“The board does not anticipate that this action by Coastal Capital International Ltd will cause any delay or deferral of the company’s process to complete the long-term financing,” Billabong said in a statement.