Frasers Group, majority owned by Mike Ashley, has increased its stake in American athletic apparel company Under Armour by acquiring 16.6 million Class A shares, representing 8.78 percent of that share class. This move comes amid Under Armour’s recent challenges, including declining sales and a downgraded full-year outlook.

Despite Frasers Group’s expanded holding, Kevin Plank, the founder and chief executive of Under Armour, maintains control of the company, retaining 64.6 percent of total voting power. According to a filing with the U.S. Securities and Exchange Commission, Frasers stated that the acquisition was not made with the intent to change or influence control of the brand.

Frasers Group’s portfolio spans various global retail assets, including significant stakes in several well-known companies. It holds 29.3 percent of Asos, 29 percent of Debenhams (through Boohoo), 48 percent of Hugo Boss, 37 percent of Mulberry, and 6.3 percent of Burberry. Some of these positions have been established through derivative instruments rather than outright share purchases. The group also owns Sports Direct, a major sports retail business in the UK.

Investor sentiment appeared largely positive following the announcement of the Under Armour stake increase. Shares of Frasers listed in London rose 11 pence, or 1.4 percent, closing at 820 pence. The wider London market also saw gains, with the FTSE 100 index rising by 43.75 points, or 0.4 percent, to 10,541.69, marking a third consecutive day of increases. The FTSE 250, which is more focused on UK companies, climbed 91.58 points, also 0.4 percent, ending at 24,215.33.

The performance of housebuilders contributed notably to the market’s upward trend, buoyed by the UK government’s introduction of a new scheme called “Your First Home.” This policy aims to support first-time buyers by offering an equity loan similar to earlier Help to Buy initiatives. Analysts at RBC Capital Markets suggested that the new scheme could significantly drive new home sales across the sector, adding momentum to investor confidence in related stocks.