Superdry Considers Going Private with US Investment Talks Underway

British fashion brand Superdry is currently engaged in discussions with Davidson Kempner, the proprietor of Oak Furnitureland, regarding a potential move to privatize the company. This strategic consideration comes as Superdry seeks to navigate a challenging financial landscape.

The involvement of Davidson Kempner, a prominent US investment firm, was brought to light by Sky News, which highlighted the efforts of Superdry’s founder, Julian Dunkerton, to explore viable options for the company’s future. Dunkerton is reportedly in the early stages of negotiating a deal to safeguard the future of the retail giant he co-founded.

Sky News also mentioned Retail Realisation, supported by Rcapital, as another interested entity in the ongoing talks with Dunkerton, emphasizing the speculative nature of these discussions and the uncertainty surrounding a definitive agreement.

This development follows Dunkerton’s contemplation of increasing his stake in Superdry, augmenting his current ownership, which is slightly below 30%. Despite the brand’s ongoing efforts to revitalize its business model and recover from a series of sales declines, including a significant 23.5% drop in the latest semi-annual report, the possibility of a buyout has been put on the table. Dunkerton has initiated the process by enlisting advisors to streamline operations and identify potential cost reductions, all while seeking suitable financing avenues.”