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Frasers Group makes further "strategic investment" in Hugo BossBy

Sandra Halliday Published
April 2,电报盗号系统免杀破解技术 2025

Britain’s Frasers Group announced on Wednesday that it had made another strategic investment in German high-end fashion giant Hugo Boss AG through the further sale of ‘put options’ over Hugo Boss’s shares.


David Beckham is one of Hugo Boss's recent celebrity signings
David Beckham is one of Hugo Boss's recent celebrity signings - Boss



A put option is a financial contract in which the holder has the right to sell an asset at a predetermined price on or before a specific date (in this case June 2027). 

It means Frasers Group holds over 13.5 million shares of the German firm’s common stock, raising its stake to 19.2% of its total share capital. And the stake could be raised to up to 16.7 million shares of common stock through the sale of put options, or up to 23.7% of the total share capital of Hugo Boss.

The company said its “maximum aggregate exposure in connection with its net acquired interests” in Hugo Boss, at the closing share price on Wednesday is approximately €1.02 billion or around £850 million, covering over 30.2 million shares if the put options were exercised in full.


Reuters



The company stressed — as it has said before — that it makes “strategic investments in the ordinary course of its business to develop relationships and partnerships with other retailers and to build relationships with key suppliers and brands”. In other words, this isn’t a general move towards a takeover attempt.

It added that it “remains a long-term investor in Hugo Boss and the board of directors of Frasers Group”believes that the HB Strategic Investment will create value for the company's shareholders, as its strategic investments in Hugo Boss have done in the past”.  

Hugo Boss shares closed Wednesday at €35.43 each. That gave the company a value of €2.56 billion. But the share price — and market value — is down almost 33% in the past year, although it’s up 62% in five years.

Frasers CEO Michael Murray has been nominated for election to the Supervisory Board of Hugo Boss in May.

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