Fruugo hires bankers to pursue sale and considers options for its future
- Fruugo explores sale of business
- Online marketplace hires bankers to pursue sale
- Outright sale is likeliest outcome
- Valuation expected to be several hundred million pounds
Online marketplace Fruugo has hired bankers to pursue a sale. The etailer, which was once considered a prime candidate to float on the London stock market, has recruited DC Advisory to explore options for its future, Sky News reported. Fruugo, founded in 2006, helps consumer brands localise themselves when selling to international audiences and counts ex-M&S chair Lord Rose of Monewden among its shareholders. An outright sale is understood to be the likeliest outcome, although the sale of a minority stake will also be considered. Fruugo employs 200 people, hosts thousands of retailers, and posted sales of £65m in 2022. Fruugo’s valuation in a possible sale is unclear but it was expected to seek a valuation of several hundred million pounds in 2021 when it considered a London listing. While now, a flotation is no longer thought to be on the cards.
Factuality Level: 8
Factuality Justification: The article provides factual information about Fruugo hiring bankers to pursue a sale, the involvement of DC Advisory, the background of Fruugo, potential outcomes, and financial details. There are no obvious signs of bias, misleading information, or sensationalism.
Noise Level: 3
Noise Justification: The article provides relevant information about Fruugo’s decision to pursue a sale, including details about the company, its history, and potential outcomes. However, there is some filler content and unnecessary links to sign up for newsletters that do not add value to the main topic.
Financial Relevance: Yes
Financial Markets Impacted: The news article pertains to the potential sale of Fruugo, an online marketplace. If the sale goes through, it could impact the financial markets and potentially the companies involved in the transaction.
Presence Of Extreme Event: No
Nature Of Extreme Event: No
Impact Rating Of The Extreme Event: No
Rating Justification: The news article discusses the hiring of bankers by Fruugo to pursue a sale, indicating potential financial implications for the company and the market. However, there is no mention of an extreme event or its impact.
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