Mike Ashley's Frasers Group has sold its 25% stake in French Connection, another fashion chain which faced uncertain future amid ongoing pandemic. Frasers sold its 24.1m shares for up to €4.3m (£3.8m), when the retailer's shares surged by more than a third at one point, following its announcement of interest from two potential buyers. French Connection revealed it had received early offers from Spotlight Brands in conjunction with Gordon Brothers International and a separate move from Go Global Retail in conjunction with HMJ International Services.
It has been reported that the Fraser Group stake was purchased by the Newcastle-based businessman Apinder Singh Ghura. The company was worth almost €570m (£500m) at its peak in 2004. Frasers Group, previously known as Sports Direct, first bought a stake in French Connection in February 2017. It is was expected that the fashion brand, founded in 1972 by businessman Stephen Marks, will become the next acquisition of the high street after Boohoo, which has most recently purchased Dorothy Perkins, Wallis and Burton from Arcadia.
