Superdry surges as First Seagull takes 5.3% stake

(Sharecast News) - Superdry surged on Friday after Norwegian alternative investment fund First Seagull took a 5.3% stake in the fashion brand. Superdry said at the start of the week that it was working with advisers on cost-saving options.

Responding to press speculation, the fashion brand said: "In line with the company's turnaround strategy, the company confirms it is working with advisors to explore the feasibility of various material cost saving options.

"Whilst there is no certainty that any of these options are progressed, they aim to build on the success of the cost saving initiatives carried out by the company to date and position the business for long-term success."

Superdry said it has continued to prioritise driving forward its cost reduction agenda. The group is set to deliver more than £40m in savings this financial year, ahead of the initially stated target of £35m, with more than £20m of those savings already achieved in the first half.

The statement followed a Sky News report over the weekend suggesting that Superdry and its advisers at PricewaterhouseCoopers were initiating work on plans that could lead to a company voluntary arrangement (CVA) or restructuring plan.

Sky said this could be aimed at closing underperforming shops - with a commensurate impact on jobs - and forcing through rent cuts with landlords.

At 0925 GMT, the shares were up 53% at 32.47p.