British e-commerce firm THG plans to sell its portfolio of luxury goods websites to Mike Ashley's Frasers Group.
The portfolio being sold includes Coggles, an international fashion retailer known for its designer collections. Despite facing challenges in the luxury market, THG’s luxury division managed to generate approximately £43 million ($54.39 million) in sales last year, operating around the break-even point.
Known for its sportswear and apparel retail, Mike Ashley’s Frasers Group has been expanding its luxury segment, which includes brands such as Flannels. The acquisition of THG’s luxury portfolio is expected to bolster this expansion.
This strategic move marks a significant step for both companies, as THG shifts its focus and Frasers Group enhances its luxury brand offerings.
As part of the transaction, THG and Frasers have also agreed to a partnership spanning several areas. This includes collaboration with THG Ingenuity, THG’s proprietary online platform that supports third-party brands, and Myprotein, THG’s leading online sports nutrition brand.
