// Hedgefund emerges as second largest shareholder behind Ted Baker founder Ray Kelvin
// Toscafund has been steadily increasing its share in the troubled fashion retailer
// Increase in stake comes as Ted Baker battles raft of resignations from boardroom
Toscafund Asset Management has been steadily increasing its stake in Ted Baker, according to a report by the Financial Times.
When Ted Baker’s chief executive and chairman last week announced they would be departing the retailer, Toscafund Asset Management held a 5.9 per cent share in the troubled retailer as a result of purchases made four days earlier.
The Financial Times said this has now risen to 11.9 per cent, making Toscafund the second-largest shareholder behind founder Ray Kelvin.
So far there had been no contact between Ted Baker and Toscafund, according to sources with knowledge of the matter speaking to the Financial Times.
It’s thought Toscafund could be shoring up stocks in the retailer while it trades for a 10th of its previous price.
Shares in Ted Baker closed on Friday at 373p, down from highs of almost £35.
Last week the fashion retailer announced it had scrapped its shareholder dividend payout and said it was now expecting annual pre-tax profits of between £5 million and £10 million.
It attributed the profit warning to worse-than-expected trading in November and Black Friday weekend.
It also compares with pre-tax profits of £50.9 million the previous financial year.
With chief executive Lindsay Page and chairman David Bernstein announcing their resignations, the retailer said it had been the “most challenging in our history”.