Sports Direct ups stake in Hugo Boss

SPORTS Direct owner Frasers Group has increased its stake in luxury German fashion brand Hugo Boss.

The company run by Mike Ashley and his son-in-law Michael Murray said it has 3.4m shares or a 4.9pc stake in Hugo Boss, and holds buy options over another 26pc slice.

The group said its investment in the fashion brand is now worth around £770m. It marks the latest move by Murray since he succeeded Ashley as chief executive of Frasers last month. Ashley remains chairman and the biggest shareholder with a 65pc stake.

Murray, 32, recently married Ashley’s daughter Anna in a lavish wedding at Blenheim Palace, Oxfordshire. Frasers said: ‘This reflects the group’s belief in the Hugo Boss brand, strategy and management team.

‘Frasers Group continues to intend to be a supportive stakeholder and create value in the interests of both Frasers Group’s and Hugo Boss’s shareholders.’

Frasers owns chains including Sports Direct, House of Fraser, Flannels, Game, Jack Wills and Evans Cycles.

It has been building up its stake in Hugo Boss since buying a holding in the fashion firm in 2020. Frasers also owns a stake in British luxury handbag maker Mulberry and has been leading a push into upmarket retail.

The group has been snapping up much of the High Street and retail sector in recent years as rivals have struggled amid a shift to online shopping. Its latest swoop was to take fastfashion retailer Missguided out of administration. Frasers sealed a deal, worth around £20m, this month to buy the business and assets of Missguided, and sister brand Mennace.

The promotion of Murray to chief executive has raised eyebrows.

And while Ashley remains chairman and the biggest shareholder with a 65pc stake, in an interview last month Murray insisted that he was the one in charge.