Wet Seal says Clinton Group seeking to replace majority of board

Wet Seal Inc sent a letter to its shareholders saying activist investor the Clinton Group is seeking to replace most of the women's apparel retailer's board with its own nominees.

Wet Seal urged its shareholders to reject Clinton's five-member slate, according to a filing with regulators on Sept. 24.

Wet Seal terminated its shareholder rights plan last week and proposed to expand its board to include two nominees of Clinton, which has a 7 percent stake in Wet Seal and had previously called for the sale of the company.