7th Oct 2024 09:48
Mulberry Group PLC - Bath, England based luxury leather goods - Raises GBP10.4 million in total from share subscriptions by its two major shareholders and a retail share offer, an exercise that drew the ire of one of the two shareholders. Majority owner Challice Ltd, with a 56% stake, and Frasers Group PLC, now with just over a 37% holding, both took part in the equity raise, despite Frasers complaining it wasn't given sufficient notice. The Sports Direct-owner last week offered to acquire Mulberry instead at 130 pence per share, higher than the 100p equity raise price, but this was rejected by Mulberry.
The retail offer received applications for 392,013 new shares, worth GBP392,013, out of 750,000 on offer. Challice earlier had agreed to buy 10.0 million shares at 100p for GBP10.0 million in total, but this was subject to a clawback provision were Frasers to want to take up its portion. In the event, Frasers subscribed for 4.0 million shares, edging its stake in Mulberry up to 37.3% from 36.9%.
Current stock price: 108.00 pence, down 10% in London on Monday
12-month change: down 47%
By Tom Waite, Alliance News editor
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Mulberry GroupFrasers Group