12.5% of Mulberry switched ownership and goes to Frasers Group. This is a “key strategic priority” for the retail conglomerate owned by Mike Ashley. With this move, the British leather goods group is even more integrated in its distribution channel.
Frasers Group acquires 12.5% of Mulberry
Mike Ashely doesn’t hold back when it’s a matter of investing. After the operation that brought House of Fraser under the hat of Sport Direct, and the negative one of Debenhams, the entrepreneur is once again active in the M&A field. By acquiring a percentage of Mulberry, he is returning to its usual strategy: taking over ownership of a small, but “strategic” piece of ownership of its suppliers.
Linking the chain
Mulberry is a relevant supplier for House of Fraser, the mall group owned by Frasers. The same brand has concessions within the malls. House of Fraser’s stores account for 40% of Mulberry’s sales points in the United Kingdom. The strategy behind this operation has already been agreep upon. According to Fashion Network, the agreement includes the opening of branded Frasers stores and the management of luxury chain Flannels.
“A key strategic priority for us is the elevation of our retail offering – reads the note from Fraser Group -, as well as strengthening the relationship we have built with premium brands”. 56% of Mulberry’s shares are owned by the Ong family (Singapore), while 24% is of Banque Havilland.