Frasers has made an offer to buy struggling luxury brand Mulberry valuing it at £83million after the group went cap in hand to investors to raise cash last week. Mulberry slumped to a £22.6million loss for the year to the end of March, as the handbag brand suffered from a wider slowdown in luxury spending.
This prompted bosses to seek an equity fundraise worth over £10million on Friday as they warned of worries about the company's future as a going concern. Mike Ashley's retail empire, which already holds a 37 per cent stake in Mulberry, said on Monday it had been blindsided by the equity raise and would have been willing to underwrite the subscription in its entirety – potentially on better terms. Frasers swoops on Mulberry as it warns equity raise created 'untenable position' for investors Frasers said the decision had created a status quo that put Frasers and other minority.
.. Mike Sheen.