According to Reuters China’s Fosun will pay 33 million euros (29.25 million pounds) for a majority stake in loss-making luxury textiles maker Wolford and make a mandatory takeover offer to other shareholders, the Austrian company announced this morning. Financial investor Fosun also agreed to provide up to 22 million euros as part of a capital increase, it said, boosting Wolford shares as much as 7 percent. Wolford, known for its underwear and women’s clothing, has been restructuring after it fell into the red over 12 months ago: based in Bregenz, Wolford reported a loss before interest and tax (EBIT) of 15.7 million euros ($18.8 million) for the financial year that ended April 2017.
Financial investor Fosun also agreed to provide up to 22 million euros as part of a capital increase, it said, boosting Wolford shares as much as 7%. The company which has investments from property development to insurance, became majority shareholder in struggling French fashion house Lanvin this month.
