E Point Perfect

Frasers Group makes offer for MySale as it eyes growth Down Under

Frasers Group has made an offer for MySale
// Frasers Group has made an offer for Australian flash sales website MySale
// The retail group said it would use MySale as a vehicle for further investments in the region

Frasers Group’s ecommerce acquisition spree looks set to continue as it makes an offer for Australian flash sales site MySale. 

The retail group, which is already MySale’s largest shareholder with a 28.7%, has offered 2p per share for the online retailer.

The offer values the shares not held by Frasers Group at £13.6 million.

Frasers Group wants to buy the flash sales website as it seeks to grow across Australia and New Zealand. It plans to use MySale as a vehicle for other investments in the region, including retail opportunities.

Frasers also believes that MySale could be used to clear end of line products from across the group.

READ MORE: Frasers to turn Metrocentre’s ex-Debenhams store to Sports Direct and Flannels flagships

The retailer, which is now run by Michael Murray, snapped up its existing shares in MySale on 29 June, three years after it sold its previous stake in the business. 

Its June share buy led to the flash sales site’s share price rising.

Frasers pointed out that its 2p offer represented a 60% premium on the 1.25p per share that MySale was trading at prior to its latest share buy. However, yesterday MySale’s shares were trading at 2.69p.

If the offer is accepted, it would be Frasers’ fourth ecommerce acquisition this year. It has already snapped up Missguided, Studio, and late last month bought ISawItFirst.com. 

The retailer said that it would not make any changes to MySale’s current staff or management, and would work with its executive team and make additional hires. 

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