US hedge fund Donerail Group has issued a scathing public letter to MarineMax shareholders, accusing the marine retailer of ‘board entrenchment, nepotism, and obstruction of shareholder engagement’.
A rift between MarineMax and Donerail Group blew wide open in early February 2026, when Donerail offered to buy MarineMax for $35 per share in an all-cash deal. The deal would value the marine retailer at just over $1bn.
The offer comes after a period of mounting pressure from activist investor Donerail, a long-term MarineMax shareholder with a stake of nearly 5 per cent. In recent months, the group has reportedly been urging MarineMax to make major changes, including replacing the CEO and selling the firm, in light of “poor allocation of capital, flawed strategy and an inability to oversee financial matters”.
MarineMax called the offer ‘unsolicited’ and swiftly clarified that the acquisition was not welcome.
Now, in the latest development, Donerail has issued a blistering open letter to MarineMax shareholders. The letter is signed by William Wyatt, managing partner at the Donerail Group, and urges shareholders to vote against CEO Brett McGill as a director at the company’s upcoming annual meeting on 3 March 2026.
The group’s letter says: “We deserve a board that acts like owners and not simply as caretakers of an eroding family legacy.”
Donerail says it has made numerous attempts to engage with the board, all of which have been “met with silence, procedural manoeuvring, and outright obstruction.”
The letter continues: “Donerail’s interest in MarineMax is neither theoretical nor tactical. We are fundamental investors who believe the company has substantial intrinsic value under proper stewardship. The board’s continued refusal to meaningfully engage with us – now nearly a month after receiving our initial proposal – speaks for itself. This is not governance. It is entrenchment.
“Based on these events and our recent engagement with the company, it is clear to us that MarineMax’s board has become captive to its CEO, Brett McGill, and is unwilling to act independently while he remains in the boardroom – a dynamic reinforced by a culture of nepotism that insulates management from accountability. If this conduct continues, we believe shareholders will remain trapped in a value-destructive status quo – saddled with a failed manager and a board that has chosen entrenchment over accountability.”
‘A culture of nepotism has impaired accountability at MarineMax’
In its open letter, Donerail argues that a culture of nepotism has impaired governance and accountability at MarineMax.
McGill, son of MarineMax founder Bill McGill, took over in 2018 and has sought to shift the company from a mainly retail operator to an integrated marine business. That strategy included the acquisition of marina operator Island Global Yachting in 2022, which increased MarineMax’s debt.
“MarineMax is being run as a family enterprise, not a public company,” the letter reads. “The culture of nepotism at the company is not abstract – it is visible, documented, and corrosive to accountability.
“The company is led by the founder’s son, Brett McGill, who appears to be protected by a board chair whose appointment was actively championed by Mr McGill’s father himself, and enabled by a board that has seemingly prioritised loyalty over fiduciary duty.
“That protection has not been costless: the chair’s [Rebecca J. White] compensation from MarineMax materially exceeds her compensation in her primary professional role, creating incentives that are difficult to reconcile with genuine independence. The result is an organisation in which independence, meritocracy, and accountability have been systematically eroded.”
The letter can be read in full online.
“We have rarely seen a public company of MarineMax’s size and complexity exhibit such pervasive family employment across senior leadership roles without meaningful board oversight.”
William Wyatt, managing partner at the Donerail Group
The group also draws attention to MarineMax’s recent financial performance, stating: “Over the last half-decade, MarineMax shares are down over 35 per cent, and the company’s most recent earnings call left shareholders uninspired, with the stock closing down more than 8 per cent on the day.”
MarineMax shares rose to their highest level in a year after the news of Donerail’s proposed takeover was published.
The group also draws attention to McGill’s ongoing selloff of his stake in the firm. “It appears Mr. McGill has consistently treated MarineMax less like a long-term ownership opportunity and more like a personal liquidity vehicle,” Donerail says. “Over the past 13 years, he has sold an average of 62 per cent of the equity granted to him in 12 of those years.
“In fact, there was only one year in which he did not sell at least 39 per cent of the MarineMax stock issued to him, and last year, he sold 91 per cent.
“Today, Mr. McGill beneficially owns approximately 1 per cent of the company – materially less than Donerail, and of a similar value to just a single year of his CEO compensation.”
Donerail highlights public Glassdoor and Indeed reviews that describe a workplace “rife with nepotism,” and a company that “will advance and support certain family members ahead of others”, and which is a “very big company still run like a ‘mom and pop’ boat dealership.”
Highlighting “a broader pattern of family employment across senior leadership functions” Donerail goes further, stating: “In our decades of analysing and assessing public companies, we have rarely seen a public company of MarineMax’s size and complexity exhibit such pervasive family employment across senior leadership roles without meaningful board oversight.”
The group is urging shareholders to vote against Brett McGill at the company’s upcoming annual meeting, suggesting that Michael McLamb, the company’s current financial chief, should take over as interim CEO while a comprehensive strategic review is undertaken.
MarineMax issues swift response to Donerail open letter
In a statement issued on Tuesday (10 February 2026), MarineMax argues that “Donerail’s claim that MarineMax has ‘not offered any productive engagement’ is patently false, and we are disappointed that Donerail would ignore the board and management team’s track record of collaborative dialogue, which Donerail itself has privately acknowledged and commended.”
The firm highlights that, “like other companies in the outdoor recreation industry, MarineMax has been impacted by external macroeconomic factors including softer retail demand, higher interest rates, tariff uncertainty and geopolitical instability.
“Despite these headwinds, we have continued to deliver solid operating results, strengthen our balance sheet and invest in initiatives that enhance value for our shareholders. This disciplined execution has translated into total shareholder return outperformance relative to our closest peer, OneWater Marine, Inc., over the past one-, two-, three-, four- and five-year periods – a fact that Donerail has inexplicably (and conveniently) chosen to overlook.”
MarineMax’s share price is up 8 per cent so far this year, supported by the company’s report last month that same-store sales increased 10 per cent in the first quarter of fiscal 2026.
However, MarineMax shares have fallen 37 per cent in the past five years, while the broader S&P 500 index has gained 82 per cent.
The statement continues: “The board is unanimous in its support for MarineMax’s CEO, Brett McGill. Since he was appointed CEO in 2018, Mr McGill has successfully transformed MarineMax into the world’s largest recreational boat and yacht retailer, marina operator and superyacht services company.
“Under Mr McGill’s leadership, MarineMax has more than doubled revenue and adjusted EBITDA, maintained resilient gross margins above 30 per cent for 21 consecutive quarters and expanded strategically into new markets and higher-margin services, marinas and superyachts. These efforts have resulted in a more diversified, resilient and growth-oriented business.”
The statement does not overtly acknowledge or rebut Donerail’s accusations of entrenched nepotism.
MarineMax annual meeting showdown set for March
The annual meeting on 3 March 2026 will give shareholders the chance to have their say. At the meeting, shareholders will vote on board composition, with three of the company’s seven directors, including CEO Brett McGill, standing for election.
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