Your browser is no longer supported. For the best experience of this website, please upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

House of Fraser suitor issues profit warning

A Chinese company thought to be linked to the bidder for a stake in House of Fraser (HoF) has issued a substantial profit warning.

Fullshare Holdings has announced on the Hong Kong stock exchange that it expects to see a 30% drop in group net profit for its 2017 financial year ending 31 December.

The board explained that an energy firm it bought in 2016 has not yet contributed to group profit.

Nanjing Xinjiekou Department Store Co., which owns 89% of HoF, is currently in advanced talks to sell a 51% stake to tourism company Wuji Wenhua.

Fullshare, which is controlled by billionaire Ji Changqun, owns 45% of Wuji Wenhua, according to The Mail on Sunday.

If the deal is approved, it is understood that Nanjing Xinjiejou would retain a 38% stake in HoF.

Nanjing Xinjiekou, a subsidiary of Sanpower Group, originally bought its 89% stake in HoF in 2014. The remaining 11% is owned by Mike Ashley.

Readers' comments (1)

  • Nothing like adding to everyone’s confidence. No literally. Nothing.

    Unsuitable or offensive? Report this comment

Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.