Frasers Group is said to have acquired Harvey Nichols from FTI Consulting, according to information reported by The Industry.fashion. L'opération would cover six British stores, the online business, inventory, franchise agreements and more than 1,000 employees of the chain.
L'acquisition follows the appointment of FTI Consulting as administrator of Harvey Nichols in June. The firm was already advising the department store in the months leading up to the transaction, according to Drapers. This sale ends 35 years of ownership of the chain by Sir Dickson Poon, founded in 1831 and distributing more than 800 premium and luxury brands.
Cinq consecutive years of losses
For the financial year ended 29 March 2025, Harvey Nichols' revenue stood at £69.4 million, down from £78.1 million in the previous financial year. This was the fifth consecutive year of losses for the chain. Frasers stated that Harvey Nichols had faced sustained commercial and operational difficulties, requiring extensive restructuring and integration into the group. The administrators had concluded that the department store was unlikely to be able to operate normally over the following twelve months, which led to the accounts being prepared on a non-going-concern basis.
Michael Murray, chief executive of Frasers Group, said: « Harvey Nichols is an iconic British institution with significant potential, but it is clear meaningful change is needed. » He added: « The turnaround will require tough choices, and we are prepared to make those decisions, even if that means a smaller business in the near term, to create a stronger and more sustainable Harvey Nichols for the long term. » Mike Ashley, founder and majority shareholder of Frasers Group, had for his part described the chain's turnaround as a « huge challenge ».
Portefeuille and areas of uncertainty
The Portefeuille of stores includes the renovated flagship in Knightsbridge as well as shops in Manchester, Birmingham, Bristol, Leeds and Édimbourg. International franchise agreements are part of the transaction and franchised stores will continue to operate under existing licence agreements. Certains assets, such as inventory and store fixtures, were also acquired. The OXO restaurant, in Londres, is however excluded from the transaction and has been sold to another buyer. L'avenir of the Dublin store remains uncertain, with discussions ongoing according to Drapers.
Julia Goddard, chief executive of Harvey Nichols since June 2024 and the driving force behind investment in the Knightsbridge flagship, welcomed the deal: « Today marks an important milestone for Harvey Nichols and provides a strong platform for the next phase of the business's evolution under the ownership of Frasers Group. » She will remain involved in drawing up the turnaround plan alongside Frasers Group.
The restructuring process announced will include a review of Harvey Nichols' store portfolio, organisational structure, operating model and cost structure.
