(Alliance News) - Frasers Group PLC on Tuesday said it its acquisition of stakes in boohoo Group PLC and Currys PLC are part of a wider strategy of taking up "supportive shareholder positions in attractive retail companies".
The FTSE 100 company hailed boohoo as for its "laser focus" on young female customers, while Currys provided an opportunity to expands its position in the electricals industry, it explained.
"Under Michael Murray's leadership, we continue to build on our long track record of establishing supportive shareholder positions in attractive retail companies. We have a clear strategy to identify opportunities to invest in businesses which complement our existing sport, premium and luxury businesses, or help us to build and further utilise our sector-leading ecosystem," Frasers added.
Frasers, which owns, House of Fraser, Sports Direct and Flannels retail chains continued its streak of buying up shares in UK retail outfits, with a regulatory filing showing it has taken up a 5.0% position in online fashion firm boohoo group PLC.
Frasers said: "boohoo is an attractive proposition to us with its laser focus on young female consumers. We see potential synergies and an opportunity to strengthen our own brand proposition in collaboration with boohoo, most obviously with Frasers Group brands I Saw It First and Missguided."
The announcement on Tuesday came hours after a filing showed Frasers has built an 8.9% stake in London-based electronics and electrical goods retailer Currys.
Documents on Monday showed Frasers built a 4.3% stake in Currys last week Thursday. It increased it to 8.9% on Monday.
Frasers said on Currys: "Our investment in Currys provides us with a valuable opportunity to build on our foothold in the electricals industry as well as deepening the existing relationship between Currys and Studio, with the potential for further collaboration between the two. Through this investment, we also believe Currys will benefit from Frasers's deep retail know-how and our sector-leading ecosystem."
On Friday, online electricals retailer AO World PLC said Frasers increased its stake to 21% from 19%. Frasers last week Monday had just bought the 19% stake.
On Thursday, London-based online fashion retailer Asos PLC said Frasers increased its stake to 10.6% from 9.9%.
Frasers shares were 0.5% higher at 715.67 pence each on Tuesday morning in London, boohoo shares were 1.3% lower at 34.44p each and Currys shares rose 2.0% to 54.00p.
By Tom Budszus, Alliance News reporter
Comments and questions to newsroom@alliancenews.com
Copyright 2023 Alliance News Ltd. All Rights Reserved.
Frasers Group (FRAS)
Boohoo (BOO)
Currys (CURY)
Ao World (AO.)
ASOS (ASC)
