BRITISH luxury brand Mulberry said on Monday (Oct 14) it is working with advisers to evaluate Frasers’ sweetened £111 million (S$189.3 million) takeover proposal, after its top investor Challice declined to sell shares to the sportswear retailer.
Mulberry’s top investor Challice has declined to sell shares to Frasers, which last week sweetened the takeover bid.
Challice is backed by a Singapore-based firm owned by billionaires Christina Ong and Ong Beng Seng and owns a 56 per cent stake in the retailer.
Loss-making Mulberry, known for its luxury handbags and belts, had rejected Frasers’ initial proposal of £83 million, saying it undervalued the company.
Mike Ashley’s Frasers, the second largest stakeholder in Mulberry, had earlier this month said it planned to acquire about four million shares in the luxury brand at 100 pence each, slightly raising its stake to between 36.9 per cent and 37.3 per cent.
Under UK takeover rules, Frasers has until Oct 28 to make a firm offer for Mulberry or walk away. REUTERS
