Frasers Group

Frasers Group, led by Mike Ashley, has bought Harvey Nichols out of administration and increased its stake in Hugo Boss to 48%, adding to prior holdings in Flannels, Mulberry and others. The acquisitions follow Ashley’s strategy of buying distressed luxury assets, but recent results show falling sales and profits in the group’s premium division and mixed performance from past purchases like House of Fraser and Matchesfashion. Analysts warn the luxury push has so far been financially disappointing and could struggle to win supplier confidence, though Ashley’s asset-backed approach and property value provide downside protection. » Más en theguardian.com

Major shareholder Frasers has raised its stake in Hugo Boss to 47.89 percent as it continues to try to take control of the fashion group. As part of a voluntary public offer, Frasers valued Hugo Boss at around €2.7 billion, but the company’s management considered the terms insufficient. The EU Commission approved the takeover, and the additional acceptance period ran until 13 August. Hugo Boss expects currency-adjusted sales to decline in the mid- to high-single-digit range for the current year and is targeting an EBIT of €300–350 million. » Más en faz.net

Frasers Group has acquired Harvey Nichols via a pre-pack administration deal reportedly worth about $54 million, taking control of six UK stores, the online business, inventory, international franchises and transferring over 1,000 employees. The purchase lets Frasers shed historic liabilities while it tackles a retailer that has been loss-making since the pandemic, reporting steep revenue declines and cumulative pre-tax losses. Management warns of tough choices including store rationalisation and potential conversions of regional sites to other Frasers brands, while preserving the Knightsbridge flagship and supporting suppliers during the turnaround. » Más en forbes.com