Mulberry’s top investor Challice—controlled by the Singaporean entrepreneur Christina Ong and her husband Ong Beng Seng—did not back Fraser’s bid to buy out the loss-making brand.
The Frasers Group has announced dropping its plans to buy UK luxury brand Mulberry, citing a lack of engagement from the latter’s board after two proposals were rejected.
Mulberry’s top investor Challice did not back Fraser’s bid to buy out the brand.
Frasers renewed calls for its representative to be appointed to the Mulberry board, hoping the board will engage positively on a Frasers appointee.
In an updated release, Mike Ashley-owned Frasers, Mulberry’s second-largest shareholder, renewed calls for its representative to be appointed to the Mulberry board, saying it now hopes the board will engage positively on a Frasers appointee.
Mulberry rejected Frasers’ second proposal worth $143.7 million early this week, saying it was ‘untenable’.
Frasers said it has become increasingly concerned over the governance of the brand, the apparent lack of a commercial plan against a backdrop of increasing market headwinds and its financial position.
Frasers said it would not like to see Mulberry exclusively engage with top shareholder Challice in private on ‘significant matters’.
Fibre2Fashion News Desk (DS)