Stock in Frasers Group plc (OTC: SDIPF) closed up 101.50% to $8.08 in the last trading session. In the session, Frasers stock price remained unchanged at $8.08 against its previous close of $4.01, while 8.5K shares were traded. News of its attempt to acquire a larger company sent SPIDF stock price soaring.
SDIPF was interested in what?
The Frasers Group distributes apparel, footwear, and equipment for sports and leisure through department stores, shops, and online through a number of subsidiaries. In sum, SDIPF comprises five segments: Premium Lifestyle, Rest of World Retail, UK Sports Retail, Wholesale & Licensing, European Retail. Aside from sports and leisure clothing sale and distribution, SDIPF takes part in the licensing of sports equipment, clothing, and footwear. In addition to its own brand, SDIPF offers products from third parties.
Mike Ashley, a billionaire entrepreneur and the founder of Frasers Group, is rumored to be picking up fashion retailer Hugo Boss to buy it for $3.9 billion.
- Sports Direct, Jack Wills, and Evans Cycles owner SDIPF already owns 15.2% of Hugo Boss.
- SDIPF’s CEO may be considering a bid for more than €3.2bn (£2.7bn, $3.9bn) for the entire company, reported the Telegraph, citing a German publication.
- SDIPF, which has been acquiring Hugo Boss shares in recent months, has previously said it plans to be a “supportive shareholder.”
- Earlier this year, SDIPF increased its stake in Hugo Boss for the second time, increasing it to 10.1% in June 2020 after disclosing an initial holding of 5.1% earlier that month.
How does SDIPF intend to use the acquisition?
The Frasers Group (SDIPF) said at the time that it saw Hugo Boss as a long-term partner and believed in its future growth.
With his House of Fraser and Flannels brands, Mike Ashley is looking to sell more upmarket goods alongside his other retail brands.