Frasers Group has increased its financial exposure in Hugo Boss, bringing its total shares in the company to £305m.
The retail group, which owns retailers including Sports Direct, House of Fraser and Flannels, said on Friday that it now holds 2.47% in common stock of the fashion brand and 13.92% via put options.
The company reduced its stake in Hugo Boss at the start of last year, cutting its total investment from £770m to £580m.
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The fashion brand’s share price has plunged by up to 20% since last January and Frasers has continued to cut its investment.
Earlier this month, Hugo Boss shares dropped 10%, hitting their lowest level since 2022, as it warned of weaker demand in China and softer consumer sentiment in the US ahead of the presidential election at its second quarter update.
Frasers Group said in 2022 that it would be a “supportive stakeholder” in Hugo Boss.
It said: “This investment reflects Frasers Group’s belief in the Hugo Boss brand, strategy and management team.
“Frasers Group continues to intend to be a supportive stakeholder and create value in the interests of both Frasers Group’s and Hugo Boss’ shareholders.”
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