Frasers strongly opposed this plan, arguing it would dilute the investments of non-participating shareholders by 99%. The British company acted swiftly to present its acquisition offer, framing it as a preferable alternative that allows shareholders to monetize their stakes.
Strategic Vision for XXL
Michael Murray, CEO of Frasers, expressed confidence in his company’s ability to help XXL recover.
Frasers, which holds 32.5% of XXL’s voting rights and 25.8% of its issued share capital, has also proposed several measures to address XXL’s liquidity issues. These include providing 500 million krone worth of products on a sale-or-return basis and exploring stock consignment arrangements.
XXL’s Response
XXL acknowledged Frasers’ announcement and stated its board would review the offer and its implications on the ongoing equity financing process. XXL is a leading sports retailer in the Nordics, with operations in Norway, Sweden, and Finland through physical stores and e-commerce platforms.
Financial and Legal Advisors
Danske Bank is serving as financial adviser to Frasers. Counsel information for XXL was not immediately available.
Broader Implications
The acquisition signals Frasers’ growing ambitions in the international retail market, particularly in the Nordics. If the offer proceeds, it will mark another major step in consolidating Frasers’ presence in the global sports and fashion retail sector.
