Hugo Boss board chair to step down amid pressure from largest shareholder Frasers

Hugo Boss supervisory board chair Stephan Sturm will step down no later than October, the company has announced. Hugo Boss’ largest shareholder, British retailer Frasers, controlled by billionaire Mike Ashley, had previously attempted a full takeover of the German fashion house, but Hugo Boss’ managing and supervisory boards unanimously recommended that shareholders reject its offer.

Sturm will step down as chair and as a member of the Hugo Boss supervisory board, the German premium-apparel maker said on Monday. Sturm said his decision followed recent “changes in the company’s shareholder structure.”

“Frasers and Mr. Sturm have therefore mutually agreed that Mr. Sturm will step down from his position as chair and member of the supervisory board as soon as possible,” Reuters quoted the British retailer as saying.

Sturm was elected to the supervisory board on May 15, 2025, and subsequently elected its chair. He will step down no later than October 15.

In June, Frasers Group offered to buy out Hugo Boss shareholders for EUR38 per share, valuing the German fashion house at about EUR2 billion ($2.31 billion), but the takeover failed. Hugo Boss’ boards unanimously recommended that shareholders reject the offer, saying it undervalued the group and its standalone prospects, the Wall Street Journal reported at the time.

In early September, Frasers said it planned to raise its stake in Hugo Boss to more than 50% and added that it was reviewing whether to continue to support Sturm as chair of the Hugo Boss supervisory board.

The two sides have clashed over governance issues in recent months. In particular, Frasers opposed paying dividends to Hugo Boss shareholders, arguing that the cash should instead be invested in growing the business, Bloomberg wrote.

Frasers has also sought greater representation on the Hugo Boss board. It proposed appointing its former company secretary Robert Palmer, who would become the group’s second representative alongside Frasers CEO Michael Murray, Reuters reported.

Hugo Boss is going through hard times: its second-quarter revenue fell 10% year over year to EUR905 million. However, the management maintained its full-year guidance, expecting sales to decline by a mid- to high-single-digit percentage and operating profit of EUR300-350 million. The latter stood at EUR391 million in 2025.

Hugo Boss shares are down less than 0.15% as of this writing on Monday. According to MarketScreener, nine analysts rate the stock “hold” and three “buy.” The average target price is EUR40.60 per share, about 6% above the current price.