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umerretail roupata leading investment bank Burberry Group econsumer retail grou has approached your BD lo explore the option of selling the company along with other

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umerretail roupata leading investment bank Burberry Group econsumer retail grou has approached your BD lo explore the option of selling the company along with other potential strategic options, Burberry Group plo, is.a UK based leading huxury fashion-house that designs, produces and sells products under the Burberry brand, lts distribution network consists of around 500 directly operated stores including more than 200 concessions within department stores and outlets more than 30 countries. The Company engages in the retail/wholesale of luxury goo Burberry main itn t nline stores, concessions, outlets and. digital commerce as well as Burberry franchisees prestige department stores globally.and multi-brand specialty accounts. It has operations in Europe, Middle East, India, Africa, US and Asia Pacific region and is listed in the FTSE100 By January 2019 Burberry's was trading at an almost double share price than its bottom back 6. Back then the company was the fifth most shorted in the FTSE 100 according to figures from Markit as it was believed to have been a victim of the general market sel-off and concerns over slower sales growth affecting most luxury brands due to an economic slowdown in China and terrorist attacks in Europe among other factors/ Company sales have suffered recently especially in Asia Pacific while Chinese shoppers in Hong Kong and mainland China account for between 30 and 40 percent of Burberry's global revenue.Yet, the Brexit vote and the slump in sterling that followed the referendurn has sdelivered a big boost to Burberry's sales powered by overseas shoppers who have flocked to the UK to stock up on branded goods. Some of the top brands have resurfaced from.the challenging environment even stronger than before since the hard work put into the revitalisatio and innovations is paying off. of these brands in terms of new products Investors and retail experts also recently welcomed Christopher Bailey's decision is to cec leave the company, as part control of the company's day-to-day managemen of a boardroom overhaul amid criticism from investors. The luxury goods veteran Marco Gobbeti who took over as Phiel executive in 2017 had an outstanding track record ot vering growth in the luxury industry and pushed ahead which has seen the company shifting further upmarket. Despite this Burberry recently missed analysts expectations for ec 29, 2018 compared with the n-anaemic 1% for sales growth reporting-a same period the previous year. Investment bank UBS has recently included Burberry in its list of the 13 more likely acquisition targets among British companies and several strategic and financial buyers have been quoted by traders and analysts as potential suitors. Given the recent retreat in the company's stock price the board of directors have been encouraged by the company's major shareholders to consider a possible sale of the company among other organic growth alternatives As part of your role you are required to discuss with the management of Burberry the potential for its sale and other strategic alternatives in response to a request for proposal (RFP) This advisory process should be supported by the production of a "pitch-book" outlining and critically discussing the options for Burberry and provides specific recommendations. a top, professor of-finance and is One of the trusted non-executive directors of Burberrys is always very critical of analysis not backed-up by relevant empirical and anecdotal evidence Therefore, although your report should-resemble a pitch-book it should also include detailed critical analysis of each section as well as sound justification of the assumptio at estimates and recommendations as well as explicit recognition of any weaknesses of the ns made to arrive analysis 5. Additional considerations and alternatives This section should provide a critical discussion. of any additional considerations regarding the transaction (e.g. current and historical market update company's board may consider other than outright sale M&A ) and provide some basic analysis with other strategic alternatives the [10 marks] e-line and summary of recommendations for the considerations of the board 5 marks] umerretail roupata leading investment bank Burberry Group econsumer retail grou has approached your BD lo explore the option of selling the company along with other potential strategic options, Burberry Group plo, is.a UK based leading huxury fashion-house that designs, produces and sells products under the Burberry brand, lts distribution network consists of around 500 directly operated stores including more than 200 concessions within department stores and outlets more than 30 countries. The Company engages in the retail/wholesale of luxury goo Burberry main itn t nline stores, concessions, outlets and. digital commerce as well as Burberry franchisees prestige department stores globally.and multi-brand specialty accounts. It has operations in Europe, Middle East, India, Africa, US and Asia Pacific region and is listed in the FTSE100 By January 2019 Burberry's was trading at an almost double share price than its bottom back 6. Back then the company was the fifth most shorted in the FTSE 100 according to figures from Markit as it was believed to have been a victim of the general market sel-off and concerns over slower sales growth affecting most luxury brands due to an economic slowdown in China and terrorist attacks in Europe among other factors/ Company sales have suffered recently especially in Asia Pacific while Chinese shoppers in Hong Kong and mainland China account for between 30 and 40 percent of Burberry's global revenue.Yet, the Brexit vote and the slump in sterling that followed the referendurn has sdelivered a big boost to Burberry's sales powered by overseas shoppers who have flocked to the UK to stock up on branded goods. Some of the top brands have resurfaced from.the challenging environment even stronger than before since the hard work put into the revitalisatio and innovations is paying off. of these brands in terms of new products Investors and retail experts also recently welcomed Christopher Bailey's decision is to cec leave the company, as part control of the company's day-to-day managemen of a boardroom overhaul amid criticism from investors. The luxury goods veteran Marco Gobbeti who took over as Phiel executive in 2017 had an outstanding track record ot vering growth in the luxury industry and pushed ahead which has seen the company shifting further upmarket. Despite this Burberry recently missed analysts expectations for ec 29, 2018 compared with the n-anaemic 1% for sales growth reporting-a same period the previous year. Investment bank UBS has recently included Burberry in its list of the 13 more likely acquisition targets among British companies and several strategic and financial buyers have been quoted by traders and analysts as potential suitors. Given the recent retreat in the company's stock price the board of directors have been encouraged by the company's major shareholders to consider a possible sale of the company among other organic growth alternatives As part of your role you are required to discuss with the management of Burberry the potential for its sale and other strategic alternatives in response to a request for proposal (RFP) This advisory process should be supported by the production of a "pitch-book" outlining and critically discussing the options for Burberry and provides specific recommendations. a top, professor of-finance and is One of the trusted non-executive directors of Burberrys is always very critical of analysis not backed-up by relevant empirical and anecdotal evidence Therefore, although your report should-resemble a pitch-book it should also include detailed critical analysis of each section as well as sound justification of the assumptio at estimates and recommendations as well as explicit recognition of any weaknesses of the ns made to arrive analysis 5. Additional considerations and alternatives This section should provide a critical discussion. of any additional considerations regarding the transaction (e.g. current and historical market update company's board may consider other than outright sale M&A ) and provide some basic analysis with other strategic alternatives the [10 marks] e-line and summary of recommendations for the considerations of the board 5 marks]

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