Frasers Group has increased its shareholding in Hugo Boss, escalating the ongoing takeover dispute between the UK retailer and the German fashion label.
The move comes as pressure mounts on the board to reconsider its stance, with Frasers signaling its determination to pursue the acquisition despite previous resistance.
The German fashion house's board has formally advised shareholders to reject the takeover proposal, characterizing the offer as inadequate.
This defensive posture has not deterred Mike Ashley's group, which continues to accumulate shares in the open market, potentially aiming to build a position large enough to force a change in management or negotiate a revised deal.
Frasers Group has recently reported a rise in revenues driven by its acquisition strategy, which has helped offset challenging conditions in its core Sports Direct business in the UK.
The financial strength from these activities provides the capital base for aggressive M&A moves, including the pursuit of Hugo Boss.