Struggling fashion brand French Connection is hoping a windfall from the sale of its stake in retail brand Toast will buy it some breathing space as it fights to turn around its fortunes.
French Connection, which owns a 75% stake in Toast, and minority owners Jamie and Jessica Seaton, sold the business to Danish fashion house Bestseller for £23.3m. French Connection will receive £13.9m in net cash from the sale.
Last month French Connection reported its sixth annual loss as it continues to battle stiff competition from other brands on the high street and online. The clothes seller closed 11 stores in the year to January and posted an underlying operating loss of £2.1m.
