Hugo Boss debe vestirse de lujo si quiere convencer al mercado
Frasers Group, con el 48% del capital tras el fracaso de su opa, empieza a mover ficha en la empresa alemana que tiene que remontar unos resultados decepcionantes
Hugo Boss must wear luxury clothing to convince the market, according to the recent story. The German brand's history is a painful one, as it was responsible for crafting uniforms for the Nazi German Army during World War II. This has not deterred investors from expressing their disapproval, especially British activist investor Mike Ashley, owner of retail giant Frasers Group.
Ashley began his move last June with a £2 billion cash offer for the remaining 26% of Hugo Boss shares, which only earned him 47.89% of the company. This offer was only 4% above the market average (38 euros). Ashley has since announced his intention to strengthen his position on the company's board, where Stephan Sturm, the current president, will resign on October 15th.
The key to Hugo Boss' recovery lies in finding a balance between cutting costs and protecting the brand's value, even if it means sacrificing short-term sales. Analyst Javier Molina of eToro notes that the company expects operating profit (EBIT) between 300-350 million euros this fiscal year and aims to regain profitable growth by 2027.
Written by urgent.news from El Pais Economia's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
