Missguided: Sales documents sent to private equity firms as fashion giants circle retailer
Fast fashion firm Missguided is reportedly wooing potential buyers as the retailer faces an uncertain future.
According to the Daily Mail, the Manchester-based firm has recruited consultants to work on a deal, with the possibility of an agreement being inked this month.
Names reportedly in the running include Asos, Shein, Mike Ashley’s Frasers Group and Asda owners the Issa brothers.
Sales documents have reportedly been sent to private equity firms including CVC and Carlyle.
Missguided has been plagued by supply chain disruption and was rescued by investor Alteri last year, which took on a 50 per cent stake and provided some £53m in emergency cash.
Last month, Missguided’s founder Nitin Passi announced he was stepping down as CEO after the firm recruited advisors from Teneo to probe “strategic options” for its future.
A spokesperson for the firm said there had been “significant progress in addressing stock issues, streamlining warehouse operations and reducing head office costs.”
This meant the retailer was now “in a position to accelerate its plans to find a strategic partner with the infrastructure and platform to deliver the next stage in its turnaround and maximise its potential.”
Missguided was now “on a sounder footing in a very short space of time,” after new investment at the end of last year, trade publication Drapers quoted Missguided chair Ian Gray as saying.
He added: “Missguided is one of the most vibrant brands in young women’s fashion and that’s down to more than a decade of hard work by Nitin.
“I recognise it’s never easy for founders to decide to step away from day-to-day leadership of the businesses they create, but I respect Nitin’s decision and look forward to his continued guidance as a member of the holding company board.”