New Look remains silent on offer for French Mim

British fashion retailer New Look is reportedly in discussions with Eastern conglomerate Asia Global for the potential sale of its French Mim

label.

“New Look confirms that it has received an indicative offer from Asia Global from Mim, its standalone French retail business, and has entered into a period of exclusive discussions with them,” revealed the fashion retailer to its investors, lenders and bondholders in a statement sent out last Friday, according to Sky News.

“Negotiations are at an early stage and there can be no certainty that a transaction will be concluded. A further announcement will be made in due course as appropriate.” A spokesperson from the fashion retailer declined to further comment on the talks with Asia Global.

Mim, which operates through over 300 stores in France, has affected the fashion retailer's financial performance for the past year. Last month, New Look revealed it was currently investigating different “strategic options for Mim, including potential divestment,” after the retailer reported a pretax loss of 55 million pounds for the financial year.

The loss included a non-cash impairment charge of 64.2 million pounds, due to the write down of the value of Mim's net assets. New Look, which is owned by founder Tom Singh, alongside with private equity firms Apax Partners and Permira, acquired full control of Mim in 2004.