Frasers takes majority control: Hugo Boss becomes a subsidiary of Mike Ashley's group
With 50.08 percent of the shares, Britain's Frasers Group has crossed the threshold. Hugo Boss says little will change for the company.
Archive image · Photo: Giftzwerg 88 / Wikimedia Commons, CC BY-SA 3.0 (cropped and resized)
Britain's Frasers Group now holds 50.08 percent of Metzingen-based fashion group Hugo Boss. On Friday it bought a further 198,666 shares for around 7.6 million euros at 38.41 euros each, it said that evening. Hugo Boss thus becomes a subsidiary and is to be consolidated into Frasers' group accounts. Through sold put options, Frasers could receive up to a further 21.87 percent.
Frasers is majority-owned by billionaire Mike Ashley and has held a stake in Hugo Boss since 2020. In June the group offered 38 euros per share; the management and supervisory boards advised against accepting, and Frasers ended up with 47.89 percent. In early September Frasers said it wanted to pass the majority mark through further purchases. In mid-September supervisory board chairman Stephan Sturm stepped down, and Frasers CEO Michael Murray took over as chair.
Frasers said the move was in the best interest of its shareholders. A Hugo Boss spokesperson said the company had noted the increased stake but that little would change for it as a result. Frasers' businesses include Sports Direct, House of Fraser and Flannels, as well as a stake in Asos.