Frasers aims to secure over 50 percent stake in Hugo Boss

UK retail group Frasers Group has moved closer to taking majority control of Hugo Boss after its voluntary public takeover offer boosted its direct shareholding in the German tailoring label to 47.89 percent.

Following the expiry of the acceptance period for the offer, Frasers confirmed its holding now stands at 33,054,959 ordinary shares. The British company stated its intention to further build its position through potential market purchases or financial instruments, with the explicit goal of pushing its economic interest and voting rights past the 50 percent threshold.

The expansion marks a major shift in Frasers’ long-standing investment strategy regarding Hugo Boss. Having initially acquired a 5 percent stake in 2020, the parent group of Sports Direct, Flannels, and House of Fraser has steadily accumulated equity and derivative positions in the Metzingen-based fashion house.

Frasers board reassesses support for Hugo Boss leadership

Along with its increased equity stake, Frasers revealed it is reviewing its support for Stephan Sturm in his role as chairman of the supervisory board at Hugo Boss.

Addressing recent market speculation, the group noted that if it decides to withdraw its support for Sturm, it will issue a formal statement of intention in compliance with German securities law. Any formal shift in corporate governance backing would mark a significant intervention by Frasers in the strategic leadership of the German luxury label.

Frasers added that there is no certainty as to the timing, volume, or execution price of future share transactions, and noted it will continue to comply with regulatory notification requirements as its position develops.