Hugo Boss started the week at the down on speculation that its owner, venture capital firm Permira, is allegedly studying a potential exit from the German fashion firm.
The London-based equity firm is reportedly in talks with advisers to find a buyer for its 56 percent holding in Hugo Boss, valued at circa 4.1 billion pounds. It´s noteworthy that Permira has cut its stake twice in the past 18 months.
Permira owns the Hugo Boss stake via its Red & Black investment vehicle and last sold off shares in May 2014, May 2013 and November 2011, when it reduced its stake by 5.6 percent, 10 percent and 6.4 percent respectively, reported Reuters.
As published by Bloomberg, Permira Advisers LLP would be in talks with advisers about a sale of its remaining stake, according to three people with knowledge of the matter.
However, the private equity house has no current plans to sell its stake in German fashion retailer Hugo Boss, a spokesman said on Monday, dismissing any potential divestment in the short term.
On the wake of the news, Hugo Boss stock fell sharply early on Monday, losing as much as 3.7 percent over the day and closing at 104.30 euros (-1.5 percent).