Mike Ashley’s Frasers Group has revealed it sold its entire 24.93 percent stake in French Connection amid news the retailer has been approached by two potential buyers.
French Connection confirmed on Friday that it had received one approach from Spotlight Brands in conjunction with Gordon Brothers International, and another from Go Global Retail in conjunction with HMJ International.
The news sent shares up by almost 65 percent on Friday afternoon.
Frasers, which was French Connection’s second-biggest shareholder, announced Monday it had sold its holding of 96,612,934 shares.
French Connection has been struggling in recent years to compete in a landscape of increasingly-online competition.
For the six months to 31 July, the company reported a 53.1 percent drop in group revenue to 23.9 million pounds.
Photo credit: French Connection, Facebook