ASOS has sold a majority stake in the Topshop and Topman brands for £135 million to Heartland, parent company of Bestseller. With Heartland now holding 75% of the joint venture and ASOS retaining 25%, the deal signifies a significant restructuring of the once-prominent clothing brands. This transaction comes after Topshop.com went offline in 2020 following the administration of Arcadia Group, with ASOS acquiring the brands in early 2021. Heartland, now the majority stakeholder, plans to relaunch Topshop.com within six months, expanding both brands’ reach through online and offline wholesale partners. Part of the deal includes ASOS retaining design and distribution rights for a royalty fee. Bestseller CEO Anders Holch Povlsen remains ASOS’s largest shareholder. Concurrently, ASOS is realigning its debt structure with a refinancing effort involving £250 million in convertible bonds due 2028 and repurchasing some outstanding £500 million convertible bonds due 2026.
Retail, E-commerce, Private Equity,United Kingdom, Denmark
https://businesscloud.co.uk/news/topshop-site-to-relaunch-as-asos-sells-majority-stake-for-135m/