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Frasers Group has more than doubled its stake in Mulberry, the luxury fashion company, from 12.5% to 29.7%.
Mike Ashley’s retail group had bought its first set of shares in the firm in February of this year for almost £19m.
At the time, Frasers said the move was part of a “strategic priority” to build closer relationships with “premium third-party brands”.
The news comes as Ashley’s company continues to gain involvement in the luxury fashion industry by introducing more Flannels stores across the UK.
Frasers Group now owns almost 18 million shares in the designer, meaning it has overtaken Kaupthing ehf as Mulberry’s second largest shareholder.
The Icelandic firm seems to have enabled the deal as its stake has fallen from 24.3% to 7.2%. Mulberry’s share price has taken a hit during the pandemic, falling from 285p on 1 January to 151p at the time of writing (4 November).
In its most recent results, the company reported that it lost £14.2m in the financial period leading up to March 2020.
Challice Limited continues to be the majority shareholder in the firm, with a 56.1% stake.
