Frasers Group which owns the Sports Direct, Flannels and House of Fraser brands said in a London Stock Exchange disclosure the disposal included a number of freehold and long leasehold retail parks held by its wholly owned subsidiaries to RI UK1 Ltd.
Frasers Group plans to use the proceeds of sale towards the working capital of the company and its group operations.
“Frasers Group fascias will operate from leases within these properties where appropriate. Frasers Group in the ordinary course of business purchases and sells properties from time to time, in this instance, significant disposal to one counterparty has led to this Class 2 announcement.”
At the end of last month, Frasers Group acquired online pureplay I Saw it First, a move industry experts believed was risky given the recent deceleration of growth in this channel.
The move followed Frasers Group acquiring Missguided in a GB20m (US$25.2m) rescue deal in June after the online fashion retailer fell into the hands of administrators.
Just Style’s news editor Hannah Abdulla said at the time the takeover of Missguided was a little off-course for Frasers Group. She explained Missguided’s mostly online offering is a far cry from previous acquisitions like House of Fraser (HoF) and Flannels, as well as its own Sports Direct brand which all have a strong retail presence.