Frasers Group announced its acquisition of 4.3 million ordinary shares in Mulberry Group Plc from Icelandic bank Kaupthing ehf at US$1.98 per share.
The acquisition results in Frasers Group holding interests in 22,149,437 Mulberry ordinary shares comprising (i) 22,121,948 Mulberry ordinary shares representing, in total, 36.82 per cent. of the existing issued share capital, and voting rights, of Mulberry; and (ii) contracts for difference relating to 27,489 Mulberry ordinary shares.
Given that Challice Ltd holds approximately 56% of Mulberry’s issued share capital, Frasers Group has been granted a dispensation by the Panel on Takeovers and Mergers. As a consequence, the acquisition does not give rise to an obligation for Frasers Group to make a mandatory cash offer to other Mulberry shareholders.
Frasers Group is, however, still reserving its right to make a voluntary offer for the company. Therefore, Frasers Group will be required pursuant to not later than 5:00 p.m. on 17th December 2020, to either announce a firm intention to make an offer to Mulberry shareholders or announce that it does not intend to make an offer. This deadline can be extended with the consent of the Takeover Panel.
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Any voluntary offer to Mulberry shareholders would be made in cash. There can be no certainty that any voluntary offer will be made.
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