Frasers Group becomes Boohoo’s biggest shareholder
Mike Ashley’s Frasers Group has become the largest shareholder of online fashion retailer after upping its stake in the company to 13.4%.
The retail group, which owns brands such as Sports Direct, House of Fraser, and Flannels, previously held a 10.4% stake in Boohoo.
Frasers Group first invested in the retailer earlier this year, and has been incrementally increasing its holding in the company over the last few months.
The group leapfrogged Boohoo’s founder Mahumd Kamani as the largest shareholder, who controls 12.5% of the company.
Boohoo’s other major shareholders include Norges Bank, Camelot Capital Partners, Ocorain and Jupiter Asset Management.
The investment is characteristic of a group which over recent times has made large numbers of acquisitions, having recently made a £75m investment in electrical retailer AO World and an increase in its stake in Boohoo rival ASOS.
Frasers Group previously said it sees potential synergies between Boohoo and its other brands including I Saw It First and Missguided.
This comes after Boohoo’s shares fell to their lowest level since 2015 following the publication of its half-year results. Earlier this month, the retailer posted a loss before tax of £26.4m for the six months to the end of August 2023, compared to a loss of £15.2m during the same period the previous year.