Ted Baker founder Ray Kelvin will have a role to play in the running of the business for the first time since he quit as boss amid a “forced hugging” scandal.
Kelvin, who continues to own almost 12% of the fashion retailer, stood down in March last year amid allegations of inappropriate behaviour towards staff.
But he will now have a say in business decisions for the first time in almost two years through what Ted Baker called a new “relationship agreement”.
Kelvin will not take a direct seat on the board, but will have his views and interests represented by non-executive director Colin La Fontaine Jackson.
Ted Baker said the move “brings the benefits of access to Ray’s unique brand experience and insight, while at the same time introducing clear guidelines that will ensure board independence is maintained and that the interests of shareholders are prioritised and protected”.
The retailer’s chair John Barton added: “We are pleased to welcome Colin to the board and to be able to access Ray’s great experience in building the brand over the last 30 years as we continue to make progress with Ted’s new formula for growth.”
Ted Baker is battling to revive its fortunes following a period of underperformance and a slump in its share price that has left its market cap floundering below £200m.
New boss Rachel Osborne has launched her turnaround plan and said in July that she was “pleased with the early progress” the business had made, despite sales slumping 50% in the 11 weeks to July 18.
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