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Mike Ashley

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Frasers buys Harvey Nichols for about ÂŁ40m, but its luxury expansion is becoming a balance-sheet test

Frasers Group has rescued Harvey Nichols from administration for about ÂŁ40 million, adding another prestigious name to its luxury portfolio. The purchase price is small, but ÂŁ1.26 billion of net debt, ÂŁ250 million of recent impairments and the continuing Hugo Boss pursuit make the wider acquisition strategy increasingly important.