Frasers Group Continues to Raise Its Stake in Asos

Frasers Group has once again upped its stake in online retailer Asos. In a new regulatory filing on the London Stock Exchange Tuesday, the Sports Direct owner increased its stake in the online fast fashion company to 16.8 percent from 10.5 percent — just months after its initial investment. In June, the Frasers Group made multiple incremental increases that raised its stake from 7.4 percent to 10.5 percent. This move is part of the group’s recent stock purchasing spree, in which it has made “strategic stake” purchases in Boohoo and Mulberry, among others. “Driving growth through strategic investments is a core part of Frasers’ DNA,” the company said in a statement in June. “Under Michael Murray’s leadership, we continue to build on our long track record of establishing supportive shareholder positions in attractive retail companies.” As for Asos, the company touted its “return to profitability” in its June P3 trading update with adjusted earnings before interest and tax up more than 20 million British pounds ($25 million, based on current exchange) year-over-year. At the same time, however, the retailer said that its return to profit came despite revenue declining by 14 percent, reflecting deliberate actions on capital allocation to improve profitability. The trading update also

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