Do you know who owns Boohoo, when was the fashion brand founded – and why did it buy Debenhams?
Billionaire businessman Mahmud Kamani, who co-founded the company alongside Carol Kane, owns a 12.5% share in the business, while Ms Kane owns 2.5%.
Here is all the information you need to know about Boohoo, so keep reading.
Who Owns Boohoo?
Boohoo is an online fast-fashion brand for young women and men which sells clothing at cheap prices with fast delivery.
The Boohoo Group is owned by billionaire British businessman Mahmud Kamani, who co-founded the company alongside Carol Kane, the joint CEO of the brand.
According to The Times, Kamani’s decision to leave his position as co-CEO in 2020 to become the company’s executive chairman gave him more authority.
With a net worth of just over £1 billion, 56-year-old Kamani is currently among the nation’s most prosperous businesspeople.
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When Was Boohoo Launched?
Boohoo was launched in 2006.
Mahmud, a wholesaler, decided to move from selling at his market stall in Manchester to selling online after realizing the potential of the internet.
Sales for Boohoo have increased during lockdown along with other online fashion brands, while high street and brick-and-mortar retail have seen a decline in revenue during the pandemic.
Boohoo targets 16-24 year olds with its colourful designs and rapid turnaround – with the design, manufacturing and sale of a piece usually completed within two weeks.
You can our Boohoo Reviews for more information.
How Much is Boohoo Worth?
Because of its success, the brand is now worth about 3.5 billion pounds.
Boohoo is also the parent company of other popular fast fashion brands, Miss Pap, Nasty Gal, and PrettyLittleThing.
Before co-founding PrettyLittleThing in 2012, Kamani’s sons Adam and Umar worked for the Boohoo company. As of April 2017, the company was estimated to be worth about £2 billion.
After a Sunday Times investigation in July 2020 revealed that workers at the company’s Leicester clothing factories were paid just £3.50 an hour, the Boohoo Group came under fire.
At the time, Boohoo said it would investigate the report and called the factory conditions “totally unacceptable”.
Read More: Is Boohoo Ethical?
Why Did Boohoo Buy Debenhams?
Since Debenhams entered liquidation in December 2020, administrators have been looking for offers for the entire business or specific parts of it.
On Monday, January 25, 2021, Boohoo announced that it would be purchasing the company’s name and website with its available cash.
The sale, according to Mahmud Kamani, will enable Boohoo to overtake rival retailers in the home goods and beauty sectors in addition to fashion.
Speaking about the deal, he said: “For the group, this is a game-changing transaction that enables us to seize the fantastic opportunity as e-commerce expands.
“To build the biggest marketplace in the UK is our goal.
“Strategically, the Debenhams brand acquisition is important because it accelerates our efforts to become a leader in new markets like beauty, sports, and home goods in addition to fashion ecommerce.”
Debenhams had been experiencing declining profits due to the growth of online shopping for years, and the coronavirus pandemic, which forced stores to close during lockdown, made matters worse.
The last time, in April 2020, was the second time the company had hired administrators in the previous two years.
Not only has Boohoo acquired this high-street brand out of administration, but the retailer has also acquired Oasis, Coast, and Karen Millen.
Conclusion: Who Owns Boohoo
In short, Boohoo was founded in 2006 by Mahmud Kamani and Carol Kane, who respectively serve as group executive chairman and an executive director, and who previously supplied high street chains such as Primark and New Look.
Do you like Boohoo and have you ever shopped there? Please share with us by leaving a comment below.
FAQs
Who is the Largest Shareholder of Boohoo?
According to Boohoo’s website, co-founder Mahmud Kamani remains the largest single shareholder in the group.
Is Boohoo from China?
Boohoo Group plc is a British online fashion retailer, aimed at 16–30 year olds.
Has Boohoo Been Sold?
Boohoo shares sold by sister of Mahmud Kamani to reduce stake in fashion giant – Business Live.
