European Motor Holdings (EMH), the UK-listed car retailer, has confirmed reports that it is in talks with potential bidders after reports of at least three offers for the company. 

The statement from EMH, which said that discussions were at a “preliminary stage” with unidentified bidders, follows an article in the Financial Times claiming that rival UK dealership Lookers, international car retailer Inchcape, and property billionaire Robert Tchenguiz have all submitted offers for EMH. In recent weeks, Pendragon Cars has also been tipped as a strong candidate to buy the business.

A sale would be likely to fetch between £300m and £400m, and would return a sizeable amount of money to property investor Jack Petchey, who owns a 14.1 per cent stake in the company. Earlier this year, Petchey himself was rumoured to be a possible candidate to head a takeover of EMH. 

Company results for the six months to 31 August 2006 showed a turnover of £427m, with pre-tax profits of £10.2m.