Mulberry rejects Frasers Group’s takeover offer
Mulberry has rejected an increased takeover bid of £111 million from Sports Direct owner Frasers Group.
In a statement, the luxury fashion brand said its board had considered the offer with its advisers. but was unanimously of the view that it was untenable and that it should be focusing its attention on driving the commercial performance of its business instead.
It added: “We believe that the combination of the appointment of a new CEO, our new debt facility and the capital raising announced today will put the group on a firm footing to ensure we are well set up for future growth.”
Earlier this month, Mulberry’s majority shareholder Challice announced that it had no interest in selling its Mulberry shares to Frasers Group, adding that it remained “very supportive of the luxury brand and its current management team.”
Challice currently holds a 56.4% stake in the business.
Frasers Group now has a deadline of 28 October to make a firm offer for Mulberry or walk away.
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