Julian Dunkerton, the CEO and co-founder of Superdry, is contemplating a potential takeover of the struggling fashion retailer.
The company announced on Friday that Dunkerton, who holds a 20% stake, “is in discussions with potential financing partners” to support a cash offer for the business.
However, it emphasized that no final decisions had been made and the discussions are still in the early stages.
Speculation about a possible private takeover deal heightened after Norwegian hedge fund First Seagull acquired a 5.3% stake in hopes of a buyout.
The investor believes that the fashion retailer is primed for a bid following several profit warnings in the past year, leading to a decline in its share price.
In the last 12 months, Superdry’s share price has plummeted by 64%, and since 2019, it has dropped by 91%.
Last week, Dunkerton acknowledged that the retailer is facing a “challenging period” after the announcement of widening losses.
Weaker trading led to Superdry’s adjusted pre-tax loss increasing from £13.6m to £25.3m in the six months leading up to October 28, as sales plunged by 23.5% to £219.8m.
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