Hugo Boss

DZ Bank has cut its fair value for HUGO BOSS from €42 to €40 following Frasers Group’s increased stake to 48% and has confirmed its "hold" rating. Analyst Thomas Maul writes that Frasers is gaining increasing control but is paying only a "bargain price" for the creeping takeover. The new price target reflects reduced free-cash-flow estimates for HUGO BOSS. » More on finanzen.net

Frasers Group used the extension of its voluntary takeover offer and increased its stake in Hugo Boss to 47.89%, meaning the full takeover narrowly failed. Frasers had offered €38 per share, valuing the company at around €2.7 billion; management considered the offer insufficient and recommended rejection. Hugo Boss reaffirms the strategy presented in December, and CEO Daniel Grieder is continuing the ongoing restructuring with store closures, a streamlined product range and greater digitalization. Frasers can still buy shares on the market to try to exceed the 50% threshold, but may have to pay a higher price to shareholders who accept later. » More on finanzen.net

Major shareholder Frasers Group has raised its holding in Hugo Boss to 47.89 percent, securing almost half of the shares. Frasers valued the M-Dax company at around €2.7 billion as part of a voluntary offer; the EU Commission has approved the takeover. Hugo Boss's management considered the terms insufficient, but Frasers has apparently still managed to acquire additional shares. Hugo Boss is battling weak consumer demand and expects a currency-adjusted sales decline in the mid- to high-single-digit range for the current year, as well as an EBIT of €300–€350 million. » More on faz.net