Superdry: Shares tank as Dunkerton granted extension on takeover bid
Shares in Superdry have slumped nine per cent following an announcement it has extended a deadline for its founder and chief Julian Dunkerton to make an offer to take the company private.
This morning, the ailing high street retailer said discussions with Dunkerton and potential sponsors regarding a possible offer for the company “remain ongoing.”
The British businessman, who currently has a 26 per cent stake in the company, is exploring an all-cash offer for the firm.
He was due to either present an offer or pull out of the race today, but this has now been extended to March 29th.
Shares in Superdry fell following the news. However, they have risen over 70 per cent in the last month following various takeover rumours.
A number of firms have been rumoured to be working with Dunkerton to help fund his private takeover.
He was said to be working with US private equity firm, Davidson Kempner, about a potential rescue of the ailing fashion retailer.
Other potential suitors include Retail Realisation, supported by the founder of turnaround investor Rcapital.
Superdry which has 98 stores across the UK, has been struggling to keep its head above water for months, launching a number of schemes to shore up extra costs.
Back in October, it signed a joint venture with Reliance Brands Holding UK Ltd (RBUK) for the sale of its intellectual property in South Asia, in its latest bid to boost funds.
It mirrored an agreement announced by Superdry in March to sell the intellectual property of its Asia Pacific offering to South Korean retail group Cowell Fashion Company for $50m (£40m).