Mulberry majority shareholder rejects selling to Frasers

Mulberry

13/10/2024 16:46

LONDON, Oct 13 (Reuters) - The majority shareholder in
luxury brand Mulberry  MUL.L  on Sunday said it had no interest
in selling any of its stake to sportswear and apparel retailer
Frasers Group  FRAS.L , in a statement designed to end Frasers'
takeover attempt.
    On Friday Frasers, Mulberry's second-largest shareholder,
increased its bid after the brand, known for its handbags and
belts, rejected an initial offer of 83 million pounds ($108
million) saying it undervalued the company.
    In a response issued on Sunday, Challice, Mulberry's
Singaporean backer which holds a 56% stake, said: "Challice
believes that it is an inopportune time for Mulberry to be sold
and particularly regrets the distraction that the possible offer
is bringing to the company and its management team at this
time. 
    "Challice has no interest in either selling its Mulberry
shares to Frasers or providing Frasers with any irrevocable or
other undertaking with regards the possible offer."
    Under UK takeover rules, Frasers has until Oct. 28 to make a
firm offer for Mulberry or walk away.
    "Challice hopes that by making its position clear, Frasers
will be encouraged to announce that it does not intend to make
an offer for Mulberry," the Challice statement said. 
    ($1 = 0.7653 pounds)

 (Reporting by William James and James Davey; Editing by David
Holmes)
 ((william.james@thomsonreuters.com; @wjames_reuters; +44 20
7513 4401;))