Mike Ashley's Frasers says Currys and Boohoo stakes are 'supportive' (updated)

N Brown

20/06/2023 12:49

* 
      Frasers discloses 5% stake in Boohoo
    

        * 
      Disclosed 9% stake in Currys on Monday
    

        * 
      Recently bought stake in AO World, raised ASOS stake
    

  
 (Adds details of Frasers stance on Boohoo and Currys in
paragraphs 3 to 7, shares in paragraph 8)
       LONDON, June 20 (Reuters) - British sportswear group
Frasers  FRAS.L  said its purchase of stakes in electricals
retailer Currys  CURY.L  and online fashion seller Boohoo
 BOOH.L  were consistent with its strategy of building
"supportive" positions in "attractive" companies.
    On Monday, Frasers, formerly called Sports Direct and
majority-owned by Mike Ashley, disclosed an 8.9% stake in Currys
and on Tuesday it disclosed a 5.01% stake in Boohoo.    
    "Driving growth through strategic investments is a core part
of Frasers' DNA," the group said in a statement.
        "Under (CEO) Michael Murray's leadership, we continue to
build on our long track record of establishing supportive
shareholder positions in attractive retail companies."
  
        Frasers said Boohoo was attractive because of its focus
on young women and the potential for synergies and collaboration
with Frasers' existing brands I Saw It First and Missguided.
  
        It said the Currys investment gave it an opportunity to
build on its "foothold" in the electricals industry through
collaboration.
  
        Last week, Frasers acquired a 21.3% stake in AO World
 AO.L , the online electricals retailer, becoming its biggest
shareholder, and forged 
    a strategic partnership
    .
  
        Shares in Frasers were up 0.4% in early afternoon
trading. Shares in Currys were up 3% and shares in Boohoo were
flat.
  
        Frasers recently raised its stake in Boohoo rival ASOS
 ASOS.L  to 10.6%. It also has stakes in German fashion house
Hugo Boss  BOSSn.DE , British clothing retailer N Brown  BWNG.L 
and luxury brand Mulberry  MUL.L .
  
        Murray, Ashley's son-in-law, has been Frasers CEO since
May last year. However, Ashley still owns 72% of Frasers'
equity.    
  

 (Reporting by James Davey; editing by Sarah Young and Ed
Osmond)
 ((james.davey@thomsonreuters.com))