The board also announced its unanimous appointment of Jess Ravich to succeed Margolis as non-executive chairman of the board. Ravich has been director of Cherokee since 1995, and managing director at Houlihan Lokey since 2009. Margolis has worked with chief executive officer Henry Stupp to ensure an orderly transition.
“This transition is an important milestone for Cherokee,” says Stupp. “Having the support of the board in order to pursue prudent acquisitions and growth strategies to more fully capitalize on our global platform is gratifying. I am most appreciative of the confidence and trust that Margolis has extended to me. I congratulate Ravich and am enthusiastic that his experience and knowledge provides our company with additional
Additionally, the board approved a separation agreement with Margolis under which Cherokee will repurchase 400,000 shares of the company's common shares from him in a private transaction. Concurrently, Stupp and Ravich will purchase 10,000 and 50,000 common shares, respectively, directly from Margolis.
The board also approved the distribution of a quarterly dividend to shareholders of $0.20 per share, down from previous quarters in order to support existing brands, new brands and its growth strategy.
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