- Frasers Group plans to increase its Hugo Boss stake from 48 per cent to more than 50 per cent.
- Chairman Stephan Sturm will step down as the British retailer seeks greater representation on the supervisory board.
- The move comes as Mike Ashley’s retail empire expands further into premium and luxury fashion.
Hugo Boss chairman Stephan Sturm is stepping down as Frasers Group pushes to take greater control of the German fashion house, marking a significant shift in the balance of power between the two companies.
Sturm, who joined the Hugo Boss supervisory board in 2025, will leave his position as chairman and as a member of the board on October 15. He will remain chairman until a successor is elected, with Hugo Boss saying it will begin the search immediately.
The change follows what the company described as “constructive discussions against the backdrop of the recent changes” in its shareholder structure.
Frasers, controlled by British billionaire Mike Ashley, currently owns about 48 per cent of Hugo Boss and said earlier this month that it intends to increase its holding to more than 50 per cent. The move would give the British retailer a majority stake in the German fashion group.
Frasers and Sturm have “mutually agreed” that he should step down as the company enters a “new chapter”, Frasers said.
The British group is also seeking greater representation on Hugo Boss’s supervisory board. Frasers chief executive Michael Murray is already a member, while the company has proposed appointing its former company secretary Robert Palmer as a second representative.
The changes could give Frasers greater influence over the direction of Hugo Boss even before it crosses the 50 per cent ownership threshold.
Mike Ashley’s luxury ambitions are getting bigger
Hugo Boss is an important part of Frasers’ strategy to move beyond its traditional sportswear and discount retail roots and build a stronger presence in premium and luxury fashion.
The group owns Sports Direct, Flannels and House of Fraser and has investments in businesses including Asos, Debenhams and Currys. Last month, it also acquired luxury department store Harvey Nichols after the retailer fell into administration.
Frasers’ growing influence at Hugo Boss comes as the German company works through another attempt to reshape its business. Chief executive Daniel Grieder, who took charge in 2021, is in the middle of a second turnaround plan.
Frasers has reportedly been seeking to increase its influence further, with reports suggesting it wants Murray to eventually take over as Hugo Boss chief executive. Neither Frasers nor Hugo Boss has confirmed such a plan.
The relationship between the two companies has so far been described as constructive, although tensions have emerged over Frasers’ push for a majority stake. Hugo Boss ended its share buyback programme early after Frasers announced its intention to cross the 50 per cent threshold, removing one potential route for Frasers to increase its holding without buying more shares.
Sturm’s departure may also raise questions among investors about the independence of the Hugo Boss board. Deka Investment’s head of sustainability and corporate governance, Ingo Speich, previously said an independent chairman was “indispensable for maintaining credibility in the capital markets and safeguarding the rights of all shareholders.”
For Hugo Boss, the immediate task is to find a new chairman. For Frasers, the bigger question is whether its growing ownership will eventually translate into control over the German fashion group’s strategy and leadership.
