Burberry’s shares saw a boost as news reports suggested that a takeover by Italian brand, Moncler, could be on the cards.
The shares jumped 7% upon the report on fashion website, Miss Tweed, but the rumours remain “unsubstantiated” Moncler told The Guardian.
Burberry has been under the spotlight after share price drops put it in danger of takeover. It also suffered the ignominy of being booted off the FTSE 100 and its valuation dropped to the lowest level in 15 years, says Retail Gazette.
In a bid to change its fortunes, Burberry has drafted in former Topshop CEO, Paul Price, as its new product boss. Price will be reporting directly to chief executive Joshua Schulman, who joined the brand in July. Schulman is a fashion veteran and has held high profile roles at Coach, Bergdorf Goodman, Jimmy Choo and Michael Kors.
Price is returning to Burberry where he worked for a decade from 2007. Schulman said: “As a key member of the Burberry leadership team during the company’s peak era of value creation, Paul was responsible for product strategies that led to consistent double-digit growth.” Burberry is hedging its bets that these two additions to its management level can turn things around, even as potential buyers have started circling.
