French Connection, the fashion retailer from London, has been sold to a consortium that includes its second largest shareholder.
The deal valued the retailer at £29 million.
The retailer, as per media reports, accepted a 30-p-per-share offer from Apinder Singh Ghura and Amarjit Singh Grewal – the apparel industry entrepreneurs based in the UK.
Additionally, the retailer received offer from holding company KJR Brothers Ltd.
Notably, French Connection represented a 30 per cent premium to the share price when the bid was first revealed in September 2021.
Here it is important to state that the founder of French Connection, Stephen Marks, remains its top shareholder with a 41.5 per cent stake.
What’s, however, notable, is that Stephen is all set to step down as Chairman of the company once the sale process is complete.
There were recently also talks of the retailer being taken over by investment firms Spotlight Brands and Gordon Brothers, but, reportedly, the offer has fallen through.
French Connection was founded in 1972 and includes brands like Great Plains, Toast and YMC. The retailer recorded a £7.3 million pre-tax loss in its last annual results.