Next eyes £100m deal for FatFace in latest shopping spree
Next is reportedly on track to snap up yet another ailing fashion brand, as it closes in on a £100m deal to acquire FatFace.
The fashion powerhouse is said to be finalising an acquisition for the fashion brand just three years after it was taken over by lenders, Sky News reported.
If completed, it will be the latest name to join Next’s expansive list of firms it has gobbled up since the pandemic.
In the last three years, the company has acquired Made.com, Joules, JoJo Maman Bebe and Cath Kidston to name a few.
It has also built a 72 per cent stake in retailer Reiss and formed a joint venture with American lingerie Victoria Secret.
Its frontman Lord Wolfson has spent the last three years transforming Next’s reputation from frumpy high street stores into one of the strongest players in both the digital and physical retail space.
As for FatFace, the rumoured deal will mark an end to its ownership by its lenders.
After a £360m acquisition in 2007, Bridgepoint owned FatFace until 2020. Lenders including Goldman Sachs and Lloyds Bank later took over the company, reducing debts by £146.8m to £25.6m.
The company has enjoyed good sales this year growing 15 per cent to £282m for the year to 27 May.
Next and FatFace declined to comment.