Latest news with #Frasers
RTÉ News
5 days ago
- Business
- RTÉ News
Frasers Group takes over XXL as largest shareholders sells its shares
UK sportswear and fashion group Frasers said that, according to preliminary results, it now controls over 92% of share capital in the struggling Norwegian sporting goods retailer XXL. Frasers Group, majority owned by billionaire Mike Ashley, has been expanding its global retail investments, raising its stake in fashion retailer ASOS and closing deals in Australia, New Zealand, Africa, Gulf and Egypt. However, in Norway it faced resistance from XXL's board of directors. The UK-based company first made a bid for XXL in December but dropped it two months later, saying it could not secure acceptances from other large shareholders. XXL's board of directors recommended shareholders rejected Frasers' second bid made in March, saying it did not offer a sufficient premium. However, on May 27, XXL's largest shareholder Altor Invest decided to sell all its shares to Frasers. Since 2019, XXL has been struggling with declining sales and liquidity constraints amid a weaker market, and began downsizing its retail network. "Frasers is acquiring a business which is in significant distress. As such, all stakeholders, including but not limited to, brand partners, landlords, suppliers and partners, will need to work collaboratively with Frasers in its efforts to save the XXL business in its current form," Frasers said in a statement. The British retailer warned, however, that given limited information it had at the moment "there is no guarantee that XXL can be saved in its current form or at all." Frasers is set to buy the remaining XXL shares, based on the March offer document. No plans for XXL's delisting have been proposed yet, but this could change pending approval from a general meeting.
Scottish Sun
6 days ago
- Business
- Scottish Sun
Mike Ashley to open huge new department store at major Scots shopping centre in days
Read on to find out when the store will open up DOORS OPEN Mike Ashley to open huge new department store at major Scots shopping centre in days Click to share on X/Twitter (Opens in new window) Click to share on Facebook (Opens in new window) MIKE Ashley's huge new department store is set to open a major Scottish shopping centre in days. Shoppers at Dundee's Overgate will be able to step into the highly-anticipated Frasers branch next week. Sign up for Scottish Sun newsletter Sign up 3 Frasers in Dundee's Overgate is set to open its doors next week Credit: Alamy 3 Mike Ashley snapped up the Scottish shopping centre back in 2023 Credit: Reuters The former Debenhams department store in the shopping centre has had a £5million transformation. It comes after the Sports Direct tycoon snapped up the Overgate in 2023. The major retail hub already houses a range of big brand names including Primark, Boots, Next and H&M. The huge 100,000 sq. ft Frasers store is set to open on Friday, June 6, The Courier reports. The date relies on Dundee City Council signing off the unit and no unforeseen issues. The new store will boast a cosmetics and fashion section on the ground floor. Fashion chain USC will be situated on the first floor, with Sports Direct, Evans Cycles and GAME on the top floor. The current Sports Direct and USC units, which are already in the centre, will become empty. Shoppers were left excited by the news which was shared on the Overgate's Facebook page. One person wrote: "Finally!" Pull&Bear Opens New Flagship Store at Silverburn: Fashion Fans Celebrate in Glasgow! Another said: "Can't come quickly enough." A third added: "Another shopping trip required!" While a fourth commented: "Love Frasers." Frasers Group, which is taking over the centre, owns a range of big brands that are moving in. 3 The huge new store will open up on June 6 Credit: Frasers Flannels, a high-end brand owned by the Frasers Group, is one of several stores opening up in the shopping centre in the former Argos unit. The centre has been undergoing a substantial transformation with several new brands opening shop. These include Rituals, Pandora, Lovisa, Bee Inspired, and The Leith Collective. Home store Søstrene Grene opened in August and Muffin Break will be relocating to the ground floor. And the indoor mall is set to welcome a string of others including Castore, Mooboo Bubble Tea and Cinnabon.
Fashion Network
6 days ago
- Business
- Fashion Network
Frasers wins control of XXL ASA, unsure if business can be saved
But the company rebuffed Frasers with its board instead opting for a rights issue that the UK company had spoken out against. Then in February, with it being clear that its offer wouldn't succeed, the British firm walked away. However, it participated in the rights issue, which took its stake above 30% and in March said it would make a mandatory offer for the rest of the shares. That brings us to today with Frasers saying acceptances of its offer mean it will end up controlling more than 92% of the share capital and 90% of the voting shares. So what about that announcement that XXL ASA might not survive? In the same stock exchange release that contained the information about its stake, Frasers said: 'Reference is made to XXL's announcement dated 26 May 2025 in respect of XXL's challenging liquidity situation and supply chain delays. Having offered to provide support to help XXL navigate its challenges over the past 18 months, and been rebuffed, this is a situation which Frasers believes could have been avoided. In the meantime, XXL has not been able to execute on its proposed turnaround plan and XXL's financial and trading position has continued to deteriorate.' It added that it's 'acquiring a business which is in significant distress. As such, all stakeholders, including but not limited to, brand partners, landlords, suppliers and partners, will need to work collaboratively with Frasers in its efforts to save the XXL business in its current form. Frasers does not currently have sufficient information to be able to determine how much of a viable proposition XXL in its current form is, and whilst its current intention is to work on stabilising the XXL business, this will be more difficult given the passage of time, and there is no guarantee that XXL can be saved in its current form or at all.' That's worrying news for the aforementioned 'brand partners, landlords, suppliers and partners' although it's unclear how much of that is a warning to encourage a co-operative attitude and how much it might mean that Frasers could shutter the business. We've already seen the UK group being prepared to close retail chains and brands that don't pull their weight — illustrated most spectacularly with its acquisition of Matches and relatively rapid ageing of the luxury webstore. We'll be watching this one very closely.
Fashion Network
6 days ago
- Business
- Fashion Network
Frasers wins control of XXL ASA, unsure if business can be saved
The UK's Frasers Group has been interested in buying struggling Norwegian sports retailer XXL ASA since last year and despite being rebuffed and walking away before returning to the pursuit, it's now close to achieving its goal. But there was a sting in the tail of the announcement of its majority stake on Wednesday with the company also saying it's unsure whether the business can be salvaged, even though it intends to wor with stakeholders to try. First, some background. Frasers said in December it planned to make an offer to buy all the shares of the troubled business that it didn't already own at a 25% premium to the then-share price, following a shareholder revolt over management's plans to fund a turnaround. But the company rebuffed Frasers with its board instead opting for a rights issue that the UK company had spoken out against. Then in February, with it being clear that its offer wouldn't succeed, the British firm walked away. However, it participated in the rights issue, which took its stake above 30% and in March said it would make a mandatory offer for the rest of the shares. That brings us to today with Frasers saying acceptances of its offer mean it will end up controlling more than 92% of the share capital and 90% of the voting shares. So what about that announcement that XXL ASA might not survive? In the same stock exchange release that contained the information about its stake, Frasers said: 'Reference is made to XXL's announcement dated 26 May 2025 in respect of XXL's challenging liquidity situation and supply chain delays. Having offered to provide support to help XXL navigate its challenges over the past 18 months, and been rebuffed, this is a situation which Frasers believes could have been avoided. In the meantime, XXL has not been able to execute on its proposed turnaround plan and XXL's financial and trading position has continued to deteriorate.' It added that it's 'acquiring a business which is in significant distress. As such, all stakeholders, including but not limited to, brand partners, landlords, suppliers and partners, will need to work collaboratively with Frasers in its efforts to save the XXL business in its current form. Frasers does not currently have sufficient information to be able to determine how much of a viable proposition XXL in its current form is, and whilst its current intention is to work on stabilising the XXL business, this will be more difficult given the passage of time, and there is no guarantee that XXL can be saved in its current form or at all.' That's worrying news for the aforementioned 'brand partners, landlords, suppliers and partners' although it's unclear how much of that is a warning to encourage a co-operative attitude and how much it might mean that Frasers could shutter the business. We've already seen the UK group being prepared to close retail chains and brands that don't pull their weight — illustrated most spectacularly with its acquisition of Matches and relatively rapid ageing of the luxury webstore. We'll be watching this one very closely.
Fashion Network
6 days ago
- Business
- Fashion Network
Frasers wins control of XXL ASA, unsure if business can be saved
The UK's Frasers Group has been interested in buying struggling Norwegian sports retailer XXL ASA since last year and despite being rebuffed and walking away before returning to the pursuit, it's now close to achieving its goal. But there was a sting in the tail of the announcement of its majority stake on Wednesday with the company also saying it's unsure whether the business can be salvaged, even though it intends to wor with stakeholders to try. First, some background. Frasers said in December it planned to make an offer to buy all the shares of the troubled business that it didn't already own at a 25% premium to the then-share price, following a shareholder revolt over management's plans to fund a turnaround. But the company rebuffed Frasers with its board instead opting for a rights issue that the UK company had spoken out against. Then in February, with it being clear that its offer wouldn't succeed, the British firm walked away. However, it participated in the rights issue, which took its stake above 30% and in March said it would make a mandatory offer for the rest of the shares. That brings us to today with Frasers saying acceptances of its offer mean it will end up controlling more than 92% of the share capital and 90% of the voting shares. So what about that announcement that XXL ASA might not survive? In the same stock exchange release that contained the information about its stake, Frasers said: 'Reference is made to XXL's announcement dated 26 May 2025 in respect of XXL's challenging liquidity situation and supply chain delays. Having offered to provide support to help XXL navigate its challenges over the past 18 months, and been rebuffed, this is a situation which Frasers believes could have been avoided. In the meantime, XXL has not been able to execute on its proposed turnaround plan and XXL's financial and trading position has continued to deteriorate.' It added that it's 'acquiring a business which is in significant distress. As such, all stakeholders, including but not limited to, brand partners, landlords, suppliers and partners, will need to work collaboratively with Frasers in its efforts to save the XXL business in its current form. Frasers does not currently have sufficient information to be able to determine how much of a viable proposition XXL in its current form is, and whilst its current intention is to work on stabilising the XXL business, this will be more difficult given the passage of time, and there is no guarantee that XXL can be saved in its current form or at all.' That's worrying news for the aforementioned 'brand partners, landlords, suppliers and partners' although it's unclear how much of that is a warning to encourage a co-operative attitude and how much it might mean that Frasers could shutter the business. We've already seen the UK group being prepared to close retail chains and brands that don't pull their weight — illustrated most spectacularly with its acquisition of Matches and relatively rapid ageing of the luxury webstore. We'll be watching this one very closely.
