(Reuters) -British online retailer ASOS said on Thursday it expects its annual sales to be slightly below its previous forecast, but guided adjusted core profit at the top end of market expectations.
ASOS also announced it would sell a majority of its stake in Topshop and Topman brands to a new joint venture formed with HEARTLAND, which would own 75% of the new entity.
ASOS expects to get about 118 million pounds ($155.15 million) in net proceeds from the sale, and will hold the remaining 25% of the joint venture.
HEARTLAND, the private holding company of Danish fashion store magnate Anders Holch Povlsen, through its unit Bestseller, which owns fashion retail brands Jack & Jones and Vero Moda, is the top shareholder in ASOS.
ASOS has been struggling with losses and faced intense competition from the likes of fast-fashion firm Shein in Europe.
($1 = 0.7606 pounds)
(Reporting by Yadarisa Shabong in Bengaluru; Editing by Rashmi Aich)
