MySale looks almost certain to be acquired by Frasers
(Picture: MySale)Mike Ashley’s Frasers Group has now breached the ‘unconditional’ 50% share threshold for Australian retailer MySale that means the owner of Sports Direct and Jack Wills will now move in for a full takeover.
Frasers said that as of the close of trading yesterday it either owned or had received valid acceptances for 50.59% of MySale shares, putting the owner of House of Fraser and fellow fashion site Missguided, in the driving seat to acquire the business.
In an announcement to the London Stock Exchange, Frasers said: “Frasers would like to remind MySale shareholders that, as at the date of this announcement, Frasers owns or has received valid acceptances in respect of the majority of MySale shares.
“Frasers intends to continue to acquire additional MySale shares by means of market or other purchases and in accordance with the takeover code. MySale shareholders who wish to transfer their holdings of MySale shares to Frasers may do so either by means of a market sale or by accepting the mandatory offer via the acceptance procedure outlined in this announcement.”
Frasers is currently offering 2p for each MySale share, down on the £1 and above price stock was trading at last year and a steep decline on the £18 level set in 2017. The lowball price has been said to undervalue “MySale and its prospects” by the board of the Australian business.
The UK-based retail giant that Mike Ashley started with the opening of one Sports Direct store in Maidenhead in 1982, has always insisted that if it receives “acceptances” from shareholders under the “mandatory offer” that it would “exercise its rights” to “acquire compulsorily” the remaining shares on the same terms as the offer.
MySale has previously been backed by fellow retail titan Sir Philip Green. It is not clear if he has sold his stake in the ongoing land grab for MySale stock.
