Boohoo founders buy 15 million pounds of shares

Boohoo shares increased 12 percent Thursday after its founders Mahmud Kamani and Carol Kane pumped 15 million pounds into the company.

Kamani and Kane bought 10.7 million pounds and 4.3 million pounds worth of shares respectively on Thursday, helping to drive the share price up 12 percent to 235p. But that fell again by almost 4 percent on Friday since market opening.

The British fast-fashion retailer’s shares plummeted almost 50 percent last month following reports that workers at one of its suppliers’ factories in Leicester were being paid 3.50 pounds per hour and were made to work when sick with Covid-19.

Online retail giants Zalando, Next and Asos all pulled Boohoo’s brands from their websites following the Sunday Times report.

The company, which owns brands including Pretty Little Thing and Nasty Gal, has since launched an independent review of its UK supply chain which it kicked off with a 10 million pound investment “to eradicate supply chain malpractice”.

Photo credit: Boohoo