Frasers Group said it has secured majority control of German apparel company Hugo Boss, increasing its direct stake to 50.08% for €7.63m ($8.55m).

Owned by billionaire Mike Ashley, the UK-listed retail entity drew on existing cash reserves to fund the acquisition of an additional 198,666 shares.

According to the filing, the purchase turns the German fashion business into a subsidiary within the group.

Following the transaction, Frasers will consolidate Hugo Boss into its financial accounts, incorporating its revenue, earnings, assets and liabilities.

Assuming operational control is projected to yield goodwill of €981.2m, calculated by assessing the fair value of identifiable net assets at Hugo Boss alongside the valuations assigned to the prior holding, newly purchased equity, and non-controlling interest.

For the six months ended 30 June 2026, Hugo Boss recorded €1.81bn in revenue alongside EBITDA [earnings before interest, taxes, depreciation and amortisation] of €272m.

As at that date, the fashion business held gross assets of €3.53bn and net assets of €1.63bn.

Beyond its direct majority stake, Frasers maintains sold put options over as many as 15.05 million additional Hugo Boss shares, representing up to 21.87% of the brand's aggregate share capital.

These contracts widen the retailer's prospective financial exposure to the apparel business.

The transaction is categorised as significant under the UK Listing Rules.

Shareholder approval is not required, with Frasers’ board stating that the purchase is in the best interests of the company and its investors.

The move follows an earlier attempt by Frasers in June, when it launched a voluntary public takeover offer for Hugo Boss at €38 per share in cash.

In July, Hugo Boss management urged investors not to accept the bid.

The acquisition extends Frasers’ retail expansion, following its August purchase of Harvey Nichols from administrator FTI Consulting and its February agreement to acquire a majority stake in Italy’s Maxi Sport retailer.