Mike Ashley's Frasers Raises Hugo Boss Exposure and Buys ASOS Stake

A model walks on an in-house catwalk at the headquarters of British online fashion retailer ASOS in London, Britain, April 1, 2014. REUTERS/Suzanne Plunkett//File Photo
A model walks on an in-house catwalk at the headquarters of British online fashion retailer ASOS in London, Britain, April 1, 2014. REUTERS/Suzanne Plunkett//File Photo
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Mike Ashley's Frasers Raises Hugo Boss Exposure and Buys ASOS Stake

A model walks on an in-house catwalk at the headquarters of British online fashion retailer ASOS in London, Britain, April 1, 2014. REUTERS/Suzanne Plunkett//File Photo
A model walks on an in-house catwalk at the headquarters of British online fashion retailer ASOS in London, Britain, April 1, 2014. REUTERS/Suzanne Plunkett//File Photo

Mike Ashley's Frasers Group has increased its maximum exposure to German fashion house Hugo Boss to 840 million pounds ($954 million) and has built a more than 5% stake in struggling British online fashion retailer ASOS.

Frasers, formerly called Sports Direct, is on a drive to move upmarket and said on Monday it now holds 4.3% of Hugo Boss stock directly and a further 28.5% via the sale of derivatives known as put options.

A Frasers spokesperson also confirmed a Telegraph report that the British sportswear and apparel retailer now holds more than 5% of ASOS.

A stake in excess of 5% would require a regulatory filing by ASOS. According to Reuters, the company declined to comment.

Last Wednesday ASOS, the one-time British poster child for the shift to online fashion retailing, said it would overhaul its business model after the economic crunch and a string of operational problems hammered its profits.

Frasers first took a stake in Hugo Boss - a supplier to its House of Fraser and Flannels chains - in 2020.

"Frasers Group has a long history ... of making strategic investments to develop relationships and partnerships with other retailers, suppliers and brands," it said, adding that it has "extensive ambitions" to expand in the UK and beyond.

The group this month disclosed a 4.5% stake in online clothing retailer N Brown and is also seeking full ownership of Australian online retailer Mysale.

In June Frasers acquired ASOS rival Missguided out of administration for 20 million pounds. It also bought online retailer Studio Retail in February.

Shares in ASOS were up 2.5% at 0827 GMT, paring 2022 losses to 78%. Shares in Frasers firmed by 0.6% while shares in Hugo Boss were up 0.2%.

Ashley stepped down as Frasers' chief executive in May and was succeeded by his son-in-law Michael Murray but still owns 69% of Frasers' equity.



Nike to Launch New Women's Fitness Brand with Kim Kardashian's Skims

The logo of Dow Jones Industrial Average stock market index listed company Nike (NKE) is seen in Los Angeles, California, United States, April 12, 2016. (Reuters)
The logo of Dow Jones Industrial Average stock market index listed company Nike (NKE) is seen in Los Angeles, California, United States, April 12, 2016. (Reuters)
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Nike to Launch New Women's Fitness Brand with Kim Kardashian's Skims

The logo of Dow Jones Industrial Average stock market index listed company Nike (NKE) is seen in Los Angeles, California, United States, April 12, 2016. (Reuters)
The logo of Dow Jones Industrial Average stock market index listed company Nike (NKE) is seen in Los Angeles, California, United States, April 12, 2016. (Reuters)

Nike will launch a new women's activewear brand in the US this spring in partnership with Kim Kardashian-owned shapewear clothing company Skims, as CEO Elliott Hill works to bolster its portfolio to better compete with upstart brands.

Product innovation and a return to focus on its core sports roots have been at the forefront of Hill's mission to revive sales at Nike, which have been lagging strong growth at Hoka and New Balance, Reuters reported.

The company's bid to appeal to women, who made up about 40% of its customers in 2023, was evident in Nike's first Super Bowl ad in nearly three decades, featuring star women athletes including Jordan Chiles, Caitlin Clark, Sha'Carri Richardson, A'ja Wilson and Sabrina Ionescu.

Skims was launched in 2019 and is valued at around $4 billion. It has seen a strong demand for its shapewear.

Nike said on Tuesday the new brand, called NikeSKIMS, would include training apparel, footwear and accessories for women.

The first collection will be launched at some retail locations in the US as well as at NikeSKIMS' website. The brand would launch globally in 2026, expanding into more retail locations, as well as in the wholesale segment.

The brand would sit alongside other names under Nike's kitty, including Converse, Jordan, ACG and Nike SB.

Nike's shares were up 3% on Tuesday.