Frasers Group continues to target Mulberry after selling N Brown stake

Frasers Group has supported the acquisition of N Brown Group by Joshua Alliance as it continues its bid for Mulberry.

The owner of Sports Direct and Flannels will sell its 20.3% stake in N Brown but said it “looks forward to a strategic relationship” with Joshua Alliance and N Brown post acquisition.

Earlier this week, Joshua Alliance, whose family built up the shopping group in the 1960s, agreed a £191 million takeover.

Alliance, who is a non-executive director of N Brown, will pay 40p in cash for each share that he does not already own.

“Frasers would also like to take the opportunity to thank N Brown and Joshua Alliance for the fulsome engagement ahead of the Acquisition Announcement,” the retail giant said.

It comes as Frasers Group moves forward with a revised cash offer of 150 pence per share for Mulberry as the company continues to target the luxury brand despite majority shareholder Challice’s rejection of its previous bid earlier this month.

At the time, Mulberry said Challice had “no interest in either selling its Mulberry Shares to Frasers or providing Frasers with any irrevocable or other undertaking”. It added that it is “an inopportune time for Mulberry to be sold and particularly regrets the distraction that the possible offer is bringing to the company”.

In a statement today, Frasers acknowledged this announcement and said it has “sought to engage with Challice directly”.