Particle.news
Download on the App Store
3 ARTICLES
·
last wk.

Mulberry Secures £20 Million from Top Shareholders and Adds Frasers Director to Board

CEO Andrea Baldo is streamlining operations to pursue profitability in key markets after a sharp revenue plunge as losses mount.

As part of a turnaround, under new chief executive Andrea Baldo, Mulberry is lowering price points to broaden appeal
Image

Overview

  • Challice Ltd and Frasers Group, Mulberry’s two largest shareholders, funded the £20 million capital raise to bolster the balance sheet.
  • James France, Frasers Group’s chief acquisition officer, has joined Mulberry’s board as a non-executive director to restore shareholder relations.
  • For the year to March 29, revenues fell 21% to £120.4 million while underlying pre-tax losses widened to £23.7 million.
  • Sales declined 18% in the nine weeks to June 1, matching the board’s expectations in the face of a luxury spending slowdown.
  • Andrea Baldo’s ‘Back to the Mulberry Spirit’ turnaround plan includes closing 12 underperforming Asian stores and refocusing on the UK, US and Europe with targets of over £200 million in annual revenue and a 15% adjusted EBIT margin.