Frasers Group ups Hugo Boss stake to 415 million pounds

Frasers Group has once again increased its stake in German premium brand Hugo Boss, for which it now holds common stocks valued at around 415 million pounds (490 million euros).

The British retail giant has increased common stock to over 5.6 million shares, representing 7.99 percent of Hugo Boss’ total share capital. It further shifted its holding of common stock via the sale of put options to over 9.7 million shares, reflecting 13.81 percent of the brand’s total share capital.

This is a notable increase on Frasers’ prior holding of the company, with the group having previously upped its Hugo Boss stake to equate to 305 million pounds in May.

At the time, the move presented somewhat of a U-turn for Frasers, which had made the decision to cut its stake in the brand last year, lowering its holding to 3.9 percent of the total share capital and 25 percent via put options.

Prior to this, Frasers had been intermittently increasing its stake in Hugo Boss throughout 2022 in a strategy that it said reflected its intention to be a “supportive stakeholder” in the brand while further backing its belief in the company itself.

Frasers had initially invested in Hugo Boss in 2020 as part of a group elevation strategy at the time, through which it was aiming to reposition itself as a more up-market business.