Missguided investor Alteri faces steep losses after Ashley swoop | Business News
The firm which ploughed funds into Missguided, the online fashion retailer, in the months leading up to its insolvency is facing losses on its investment running to tens of millions of pounds.
Sky News understands that Alteri Investors, which is backed by the American private equity giant Apollo Global Management, injected a total of £50m into Missguided between December 2021 and its sale through a pre-pack administration to Mike Ashley’s Frasers Group last week.
Sources said that Alteri, which was established to invest in troubled retail businesses, had invested £40m through a combination of debt and equity to acquire a controlling stake in Missguided, followed by a further £10m as it sought a new owner.
The business was sold to Mr Ashley’s retail empire for £20m, although the exact sum that will be recovered by Alteri was unknown on Tuesday.
One source estimated the potential loss to Alteri at between £20m and…
