Fri, 06 Nov 2020 | BUSINESS SALE
Mike Ashley's Frasers Group is no longer set to acquire Debenhams after refusing to meet the £300 million asking price set by the department store's advisers.
Debenhams is now expected to consider a number of alternative options, including the possibility of liquidation, the sale of individual divisions, or selling it back to the group of hedge funds that own its debts.
Commenting on the group's decision to withdraw from the purchase, Frasers Group's chief financial officer Chris Wootton has written to the BEIS committee and stated that the asking price was "impossible" to reach.
He added that he expects Debenhams to be bought by its present owners or to be liquidated by Hilco, a restructuring specialist who will step in if a buyer can't be secured.
However, Debenhams are also expected to receive offers from other high street brands including Next and Marks & Spencer, who are understood to be interested in buying individual shops from Debenhams. The firm is also thought to have received an offer from The Hut Group for the purchase of its website.
Despite pulling out of the deal, Ashley has expressed is anger after being excluded from the auction of the department store. He stated that it was "almost unbelievable" that he was expected to make a bid on the "woefully inadequate" information provided by Debenhams.
However, Debenhams' lawyers countered the comments, stating that Frasers Group had not made an offer in time for the deadline. This failure, combined with a large difference in the perceived value of the stores, meant "the joint administrators regretfully conclude that there is no prospect of concluding a transaction", they added.
This long-established bakery in Oldham, known for its exceptional reputation since 1964, specialises in quality baked goods.
FREEHOLD
This well-established used car and commercial sales business in Tyne and Wear boasts over 30 years of industry expertise, showcasing a strong reputation and leadership in providing subprime finance solutions.
LEASEHOLD
This independent plant nursery in Norfolk offers an exceptional opportunity to acquire a well-regarded freehold business with a strong reputation for quality plants at competitive prices.
18
|
Jul
|
Buyers swoop for divisions of collapsed recruitment and logistics firm | BUSINESS SALE
Two separate buyers have acquired three divisions of a Great...
18
|
Jul
|
Hotel group sells off five more locations | BUSINESS SALE
A hotel group with 16 sites in rural and coastal locations a...
18
|
Jul
|
Administrators market £28.4m-turnover furnishing firm for sale | ADMINISTRATION
Administrators are seeking a buyer following the collapse of...
25
|
Jan
|
Boohoo acquires Debenhams brand in £55m deal | BUSINESS SALE
Online retailer Boohoo has acquired the Debenhams brand in a...
01
|
Dec
|
Debenhams set to close after JD Sports withdraws interest in wake of Arcadia collapse | BUSINESS NEWS
JD Sports has confirmed that it has pulled out of talks to a...
01
|
Dec
|
Arcadia collapses into administration | ADMINISTRATION
Sir Philip Green’s Arcadia, the group behind retailers...
Business Sale Report is the complete resource for finding genuine acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.