A New York based hedge fund with a $10 million stake in Billabong has called for the removal of directors from the troubled surfwear brand, apart from the founding shareholders.
Billabong on Monday said Coastal Capital International, which last month bought a five per cent stake in the company, had called for a general meeting of shareholders.
But it vowed Coastal Capital's proposal would not delay any decision on a financial lifeline.
"The board and advisers are reviewing the notice and the resolutions set out in it," Billabong said in a statement.
"Following that review, the board will communicate to shareholders its views with regard to the notice and the resolutions set out in the notice."
Coastal Capital on Friday proposed that all current directors of the Gold Coast-based multinational be removed, except for founding shareholders Gordon Merchant and Colette Paull, whose families own 16 per cent of the company.
Last month, Billabong entered into a $US470 million ($A529.13 million) refinancing arrangement with US private equity group Altamont Capital Partners.
Launa Inman stepped down as chief executive, with Altamont naming former Oakley boss Scott Olivet as her nominal replacement.
But during the same week, Billabong said it would consider 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.
"These matters will continue to be progressed to ensure that the long-term financing of the company is finalised as soon as practical so it can focus on rebuilding the business."
Mr Olivet is remaining as a consultant to the board until a refinancing decision is made.