© REUTERS
The British clothing chain Superdry saw its share price plummet by 50 percent on Tuesday. The reason is the announcement by CEO Julian Dunkerton that he will not make a takeover bid for the company, which is fighting for its survival.
In recent months there has been a lot of speculation about different options for Superdry. One of these was a possible bid by CEO and co-founder Dunkerton for shares he did not yet own. The businessman, who owns 26 percent of the shares, was given until March 29 to make an offer, but said he would not do so because of the “weak British fashion chain”.
In February, Dunkerton had indicated that he was “considering” making an offer, after which the share price rose by 80 percent. However, in the past five years, the stock has lost more than 90 percent of its value.
READ ALSO. “Superdry founder talks to American investor about takeover”
“Alternative structures”
Superdry responded that both parties have agreed “that a takeover bid would not be in the interests of the shareholders”. However, the company remains in discussions with Dunkerton about “alternative structures”. This may involve a capital increase that would finance Dunkerton and provide further “liquidity for the company”.
In addition to a declining stock market value, Superdry is also struggling with declining sales figures. Recently, the Norwegian investment fund First Seagull and the American investment company Davidson Kempner have been suggested as possible buyers, but nothing concrete has been decided yet.
Superdry has about twenty stores in Belgium.
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– 2024-04-03 21:51:44
