MySale has recommended its shareholders accept Frasers Group’s offer to buy the stake in the online shopping group it does not already own, despite maintaining their belief that the bid price undervalues the company. Frasers has offered 2 pence in cash per remaining MySale share. The Australian fashion group said the bidder’s current 48.48 percent stake meant it was in “effective control” and warned Frasers’s shareholding would allow it to pass or block resolutions at future general meetings, including director appointments.
MySale buys excess stock in Europe and sells it cheaply in Australia, New Zealand and South East Asia. Frasers, which owns Sports Direct, House of Fraser and Evans Cycles among others, bought a 28.7 percent stake in July and a month later launched a full takeover bid worth £19 million (€21.7m).
The takeover looked increasingly likely after MySale’s founders backed it and agreed to sell their shares to Frasers.
