Struggling UK fashion retailer French Connection has received a takeover offer from a group of bidders including its second-largest shareholder, sending its London-listed shares up by 15 per cent

The offer of 30 pence share from a group including Apinder Singh Ghura, Amarjit Singh Grewal and KJR Brothers values the once dominant player in British fashion at about 29 million pounds ($39.6 million).

Ghura is the company's second-largest shareholder with a 24.95 per cent stake, according to Refinitiv data, and with a 41.5 per cent stake, founder and CEO Stephen Marks remains its largest shareholder.

Talks with the consortium are ongoing. French Connection began seeking new suitors earlier this year after investment firms Spotlight Brands and Gordon Brothers pulled out of early talks to buy the company.

Once known for its provocative ‘FCUK’ brand of clothing, French Connection, has not been profitable in a decade and the COVID-19 pandemic has only hit sales harder.