21st Feb 2025 08:35
(Alliance News) - Frasers Group PLC on Thursday said it has decided against taking full ownership of Norway's XXL.
The Shirebrook, England-based owner of multiple retailers, including House of Fraser, Sports Direct and Flannels, in December launched a voluntary offer to acquire the shares in the sporting goods retailer it does not already own.
But Frasers said it has been informed that XXL’s other large shareholders would not accept the intended offer if made.
"As a result, Frasers has concluded that the condition requiring acceptance of the intended offer by a sufficient number of shareholders to ensure Frasers would hold more than 50% of XXL’s shares and votes on a fully diluted and converted basis would not be fulfilled," the firm said in a statement.
"Against this background, Frasers has decided not to proceed with the intended offer," the firm added.
Frasers is already the second-largest shareholder in XXL, owning around 26% of share capital in the Oslo-based firm.
Frasers Group's voluntary offer was to purchase the remaining shares for NOK10 each. The proposal valued XXL at approximately NOK246.4 million, some GBP17.5 million.
Shares in Frasers rose 0.8% to 625.76 pence each in London on Friday morning.
By Jeremy Cutler, Alliance News reporter
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