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UK's Boohoo starts search for new auditor as PwC stands back

Credit: REUTERS/DADO RUVIC

PwC will not compete to be the new auditor of online fashion group Boohoo, confirming media reports of a shift as the company rejigs its corporate governance apparatus following a report into working conditions at its suppliers.

Adds expected share move, background

Oct 19 (Reuters) - PwC will not compete to be the new auditor of online fashion group Boohoo BOOH.L, confirming media reports of a shift as the company rejigs its corporate governance apparatus following a report into working conditions at its suppliers.

Boohoo said PwC, which has been the group auditor since 2014, is still its auditor at this time and the audit committee has launched a competitive tender process for the company's audit.

Shares in Boohoo are indicated to open 3%-5% lower as per a premarket indicator.

The company last month accepted all the recommendations of an independent review, which found several failings in its supply chain.

The Financial Times newspaper had reported earlier this month that PwC has resigned due to concerns over reputational risk.

(Reporting by Yadarisa Shabong and Tanishaa Nadkar in Bengaluru; Editing by Amy Caren Daniel)

((Yadarisa.Shabong@thomsonreuters.com; Twitter: https://twitter.com/Yadarisa; +919742735150;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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