Frasers Group Increases Ownership Stakes in Asos and Boohoo

In a continued strategy of bolstering its presence in the market, Mike Ashley’s retail powerhouse, Frasers Group, has once again expanded its holdings in struggling competitors, this time increasing its stakes in both Asos and Boohoo.

According to the latest regulatory filings from the group, Frasers has elevated its stake in Boohoo from the previous 17.2 percent to a noteworthy 21.4 percent. Simultaneously, for Asos, Frasers has augmented its ownership to 17.1 percent, up from the previous 16.4 percent.

Over the past year, the conglomerate, which boasts holdings in various brands like Mulberry, Hugo Boss, and N Brown, has strategically and discreetly acquired additional shares in rival companies as part of its comprehensive portfolio expansion.

Frasers initially acquired a stake in Boohoo, the umbrella company for Karen Millen, Nasty Gal, and Prettylittlething, in June 2023, labeling the fast-fashion group as “an attractive proposition” due to its focused approach on young female consumers.

As for Asos, the allure lay in the potential for a future partnership with the company, particularly during a period when the e-tailer had already initiated an ongoing turnaround plan amidst lackluster trading performance over the past year.

This move aligns with Frasers Group’s broader strategy of expressing interest in struggling companies, as evidenced by its prior acquisitions of Missguided, Studio Retail, and I Saw It First, successfully rescuing each from their respective financial challenges.