Fashion retailer N Brown has received approval today for the business to be acquired and taken private by one of its non-executive directors and shareholders.
It was announced in a statement published to the London Stock Exchange this morning that a deal for N Brown to be acquired by non-executive director and its fourth biggest shareholder, Joshua Alliance, has been given the green light.
The acquisition has been officially cleared by the Financial Conduct Authority (FCA), which will see proceedings go ahead and take the business private.
The deal will see Alliance acquire the entire issued and to-be-issued share capital of N Brown, which will be implemented via a Court-sanctioned scheme of arrangement.
Completion of the deal remains subject to conditions but the companies said they anticipate the acquisition to be effective from February 12, 2025, subject to the outcome of the Court Sanction Hearing on February 10, 2025.
The businesses said in a statement: “On 17 October 2024, the board of directors of Falcon 24 Topco Limited (“Bidco”) and the N Brown Independent Directors announced that they had reached agreement on the terms of a recommended cash acquisition, pursuant to which Bidco, a newly formed company owned and controlled by Joshua Alliance, will acquire the entire issued and to be issued share capital of N Brown Group plc, other than the N Brown Shares already owned or controlled by Joshua Alliance.”
This comes after movements towards the deal in October this year when Joshua Alliance made a recommended offer for the group at 40p per share in cash, valuing N Brown at around £191m.
At the time, Falcon said it believed the deal presented “an opportunity to acquire a portfolio of well-established fashion brands, supported by an innovative financial services platform that is currently under development, with a long history and heritage in the UK clothing and footwear market”.
It added that the deal would “support N Brown in accelerating its long-term growth potential”.
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