Sophia Lorey, a former college soccer player and vocal critic of transgender participation in women's sports, is leading a shareholder effort to pressure Nike over its ties to organizations that support gender-transition care for minors. Lorey, 26, was scheduled to address Nike shareholders on Tuesday, advocating for a proposal from the Christian investment firm Inspire Investing.
The proposal seeks greater oversight of Nike's charitable partnerships, with Lorey specifically targeting the company's relationship with the Human Rights Campaign. According to reports, Lorey plans to argue that Nike's support for the LGBTQ advocacy group conflicts with its marketing of women's athletics, including campaigns like "Play Like a Girl" and "Get Her in the Game."
Lorey, an alumna of Vanguard University and outreach director for the California Family Council, has become a prominent voice against transgender athletes competing in women's sports. Her advocacy extends to parental rights and curriculum challenges in schools.
Inspire Investing, which manages $5.4 billion in assets, is spearheading a broader campaign questioning numerous corporations about their policies regarding transgender issues. The firm and its allies have inquired with 242 employers about whether their health insurance plans cover gender-related surgeries for minors. This initiative is distinct from the Nike proxy measure, which focuses on potential risks associated with the company's charitable giving.
The shareholder proposal Lorey is supporting also references an Equal Employment Opportunity Commission investigation into allegations of systemic race discrimination at Nike. The proposal suggests that "brand politicization" could negatively impact company performance, particularly in light of existing diversity, equity, and inclusion initiatives.
Nike's board has recommended shareholders reject the proposal, stating that existing due diligence processes for charitable partnerships are robust and that further examination would be duplicative. "Charitable partnerships are approved... only after a robust due diligence review of the proposed recipient organization," the board said in a regulatory filing.
Lorey played women's soccer at Vanguard University from 2018 to 2021. Her involvement with the California Family Council since 2022 has seen her championing causes aligned with conservative Christian values.
Inspire Investing reports that its broader campaign has garnered support from investors managing over $100 billion. Companies contacted include Walmart, which stated its plans do not cover gender surgeries for minors, and Charles Schwab, which reportedly no longer offers such coverage. The Human Rights Campaign has countered the shareholder campaign, asserting that such initiatives have historically struggled to gain significant investor traction and that reduced disclosure does not necessarily indicate a change in internal practices.
