// Frasers Group has upped its stake in Asos to 9.9%, as the fashion retailer continues to struggle
// Ashley’s retail empire is known for snapping up businesses in trouble
Frasers Group has raised its stake in Asos for the second time this week as speculation over a takeover of the embattled online fashion retailer mounts.
The Mike Ashley owned group now holds 9.9% of shares, up from 7.4% at the start of the week.
Ashley’s actions has raised fresh questions over Asos, which was valued at more than £7bn just over two years ago and a possible takeover as its shares hit a 12-month low, leaving it at a value of £400m.
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Frasers has long been famed for snapping up businesses in trouble. The group has also been focused on building an online portfolio of late, acquiring Studio, Missguided and ISawItFirst.com.
Over the weekend, it emerged that the retailer was approached by Alibaba-backed Turkish fashion retailer Trendyol back in December with a £1bn takeover bid.
Asos has three big shareholders: Bestseller owner Anders Holch Povlsen, who holds a 26% stake, hedge fund Camelot Capital Partners, which who has 15%, and Frasers Group with 8.8%, making up almost 50% of the shares.
Read the analysis: Is a takeover on the cards for Asos?
This week it emerged that Asos’ suppliers have begun cutting ties with the embattled online fashion retailer after credit insurers withdrew cover amid concerns over its falling profits.
“Lots of suppliers aren’t delivering as insurance has been lost,” one supplier told The Times.
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