Frasers Group has revealed that its takeover offer for Hugo Boss has become unconditional after receiving clearance from the European Commission.
The Flannels owner increased its stake in the German fashion brand last week to 30.28%, crossing the threshold that triggers a mandatory bid under the country’s takeover rules.
Frasers submitted a voluntary €38 per share cash offer, worth £1.73bn, for Hugo Boss in June.
The fashion brand encouraged shareholders to reject the takeover bid, stating it was “financially inadequate” and that the company did not require external investment to execute its turnaround strategy.
In a note to the markets this morning, Frasers Group said the European Commission had cleared the deal and that its offer was now unconditional.
It added that its €38 per share offer remains open for shareholders to accept until August 13.
The update follows reports over the weekend that Frasers was considering ways to make its boss Michael Murray the chief executive of Hugo Boss.
At the same time, Frasers Group is understood to be in the mix of suitors lining up to bid for luxury department store business Harvey Nichols.
Sky News reported that a deadline of July 28 had been set for UK bidders and that the retailer’s owner was looking to make a decision within days.
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