Frasers Group Signals Push Past 50% in Hugo Boss, Reviews Support for Chairman

Frasers Group plc (LON: FRAS) shares edged lower on Tuesday after the Mike Ashley-founded retailer confirmed plans to deepen its stake in German fashion house Hugo Boss AG, while also revealing it is reconsidering its backing for the supervisory board’s chairman.

In a statement to the London Stock Exchange, Frasers said its direct shareholding in Hugo Boss stood at 33,054,959 shares, or 47.89% of the company’s share capital and voting rights, following the expiry of the acceptance period for its voluntary takeover offer on 18 August. The group said its “current intention” is to increase that stake further, with the explicit objective of crossing the 50% threshold, though it cautioned there was “no certainty” as to whether, when, or at what price any such acquisitions would be made, or whether the target would ultimately be reached.

Frasers added that it may continue buying or selling instruments providing economic exposure to Hugo Boss shares, including options and derivatives, and would comply with all applicable disclosure and voting rights notification requirements.

In a notable side development, Frasers disclosed it is reviewing whether it continues to support Stephan Sturm in his role as Chairman of Hugo Boss’s Supervisory Board, citing “recent market speculation.” Should Frasers withdraw its backing, it would be required to publish a formal intention statement under Section 43 of Germany’s Securities Trading Act (WpHG).

The update underscores Frasers’ growing ambitions to exert greater influence over Hugo Boss’s strategic direction and governance as it edges toward majority control.