Frasers Group acquires 8.78 percent stake in Under Armour

Frasers Group, the parent company of Sports Direct, has acquired an 8.78 percent stake in Under Armour. According to a regulatory filing, the UK-based retail conglomerate purchased approximately 16.6 million Class A shares.

Despite the acquisition, a full takeover of Under Armour appears unlikely at this stage. Founder Kevin Plank maintains control of the company with approximately 65 percent of the total voting interest. The investment comes as Under Armour faces market challenges; its shares have traded near all-time lows following several years of restructuring and a recent downward revision in annual guidance.

Led by CEO Michael Murray and owned by Mike Ashley, Frasers Group has a history of acquiring minority stakes in sportswear and fashion brands experiencing market headwinds, such as Puma, Burberry, and ASOS. These investments are often used as leverage to influence strategic changes or product distribution.