Struggling Superdry confirm founder is looking to take the company private
Shares in struggling Superdry have surged this morning following the news that founder and chief executive Julian Dunkerton is considering taking the listed company back in to private hands.
The Cheltenham firm has endured a torrid year amid plunging profits and rumours that a major restructuring of the business is on the cards.
Specialist advisers have been taken on board to look at a number of options including job cuts and store closures.
Persistent rumours that entrepreneur Dunkerton was considering taking the firm back into private hands were confirmed this morning.
The value of the shares almost doubled from 21 pence to 38 pence.
Meanwhile First Seagull, a Norwegian alternative investment fund, has snapped up a 5.3 per cent stake in the retailer.
It is thought that the investor considers the fashion retailer is ripe for a bid following various profit warnings over the last year which has seen the share price tumble.
Superdry issued a statement this morning to the stock market following renewed speculation.
Chairman Peter Sjolander confirmed he previously received a request from Julian Dunkerton for permission to begin exploring the possibility of making an offer for the company and to commence discussions with potential sources of finance.
The statement added: “The company formed an independent committee to consider the request. The Transaction Committee subsequently consented to the request, subject to certain agreed guidelines and procedures.
“Julian Dunkerton has since confirmed to the Transaction Committee that he is engaged in discussions with potential financing partners for the purposes of considering options in respect of the company, which may include a possible cash offer for the entire issued and to be issued share capital of the company, not already owned by him. These discussions are at a preliminary stage and no decisions have been made.
“The Transaction Committee has provided limited additional information to Julian Dunkerton and the Potential Sponsors to facilitate further exploration of a possible offer for the company. There can be no certainty that an offer will be made, nor as to the terms on which any such offer might be made.
“As announced on 29 January 2024 and in line with the company’s turnaround strategy, the company also continues to work with advisers to explore the feasibility of various material cost saving options. Whilst there is no certainty that any of these cost savings options will be progressed, they aim to build on the success of the cost saving initiatives carried out by the Company to date and position the business for long-term success.”
