Luxury British department store bought by Sports Direct’s Mike Ashley
- Mike Ashley‘s Frasers Group has acquired Harvey Nichols following the luxury department store chain’s collapse into administration, beating retail rival Next in a competitive auction process.
- The acquisition encompasses Harvey Nichols’ complete estate of six UK stores situated in London’s Knightsbridge, Manchester, Birmingham, Bristol, Leeds, and Edinburgh.
- The rescue deal follows warnings from Harvey Nichols in its latest financial accounts that it faced having to cease trading within a year without securing new investment.
- Frasers Group chief executive Michael Murray indicated that oversight of the turnaround will involve tough choices and may temporarily create a smaller business to establish long-term viability.
- The announcement coincided with Frasers Group reporting an 8.7 per cent increase in annual revenues to £5.33 billion, driven by international growth despite a 4.7 per cent decline in UK sports retail revenues.
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