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(Sharecast News) - High street conglomerate Frasers Group has raised its holding in HUGO BOSS to just under half, just days after retail tycoon Mike Ashley acquired Harvey Nichols.
Frasers, which had a £1.7bn takeover offer for the German fashion brand rejected in June, said on Tuesday that 17.6% of the latter's shareholders had tendered their shares in support of the deal.
As a result, the number of HUGO BOSS shares for which the offer has been accepted, together with Frasers' direct shareholder, amounts to a 47.89% stake in the company.
The board of HUGO BOSS had previously urged shareholders to vote against Frasers' 38-a-share offer, labelling it as "inadequate from a financial point of view".
"We appreciate Frasers Group's continued long-term commitment to Hugo Boss and look forward to maintaining a constructive `relationship with them as our single largest shareholder," HUGO BOSS chair Stephan Sturm said in a statement on Tuesday.
He said that the board will continue to support the company's so-called 'Claim 5 touchdown' strategy for sustainable profit growth by 2028 and remains "firmly committed to HUGO BOSS' established governance framework and acting in the best interests of the company and all its stakeholders".
On 13 August, Frasers Group announced the acquisition of the Harvey Nichols department store group from FTI Consulting, taking over the firm's six outlets across the UK, together with its online business, existing inventory and over 1,000 employees.
HUGO BOSS shares were down 0.3% at 37.98 by 1219 BST, while Frasers gained 2.3% to 812.77p.
See the latest RNS on Investegate.
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