Superdry boss holds talks over takeover of fashion firm

Superdry boss and co-founder Julian Dunkerton is in talks over a possible takeover deal for the troubled fashion brand he co-founded in 2003.

The news led to shares in the retail business rocketing by as much as 110% on Friday morning amid the takeover speculation.

In a statement to shareholders, he company said Dunkerton "is engaged in discussions with potential financing partners" over a possible takeover offer for the business.

Dunkerton, who co-founded the brand with James Holder who is no longer involved with the business, already owns roughly 26% of the business.

In 2015 he stood down but returned in a dramatic boardroom coup in 2019 stating that he was unhappy with the direction it was taking. He has since set about trying re-establish the brand as a label of choice for fashionable and sustainably minded young consumers.

The retail firm said "discussions are at a preliminary stage and no decisions have been made" about his possible takeover.

The business, which employs around 3,350 globally, runs 216 shops alongside franchised stores.

Earlier this week, Superdry said it was working with advisers to look at various "cost-saving options" for the business.

This came after Sky News reported it could launch a restructuring plan or Company Voluntary Arrangement (CVA). Such a move could result in store closures and potentially force through rent reductions with landlords.

Last week, Superdry said that its revenue had fallen by nearly a quarter (23.5%) to £219.8 million in the six months to the end of October, with adjusted loss nearly doubling to £25.3 million.

The news comes as a new investor, First Seagull, began stakebuilding in Superdry. According to a source, "It’s just a matter of time before there’s an offer".