Debenhams considering bid for rival - report

UK high street retailer Debenhams is understood to be considering lunching a rival bid for department store group Beatties, it was reported today.

House of Fraser announced early last week that it had agreed a £69.4m (€102.7m) take over deal with Beatties, which has 12 stores mainly in the Midlands.

The proposal is still subject to shareholder approval but has already been backed by the board of Beatties.

The move is part of HoF chief executive John Coleman’s expansion plan for the group, which has already seen him pay £46m (€68m) for Edinburgh department store Jenners, as well as opening new stores in Maidstone, Dublin and Croydon.

But the Mail on Sunday reported today that Debenhams was considering a counter bid for the group.

No one from Debenhams was available to comment, but the Mail on Sunday reported a source close to the group as saying it was “seriously looking into it”.

Beatties, which is listed on the stock market under the name of its founder James Beattie, began life as a draper’s shop in Wolverhampton in 1877.

Debenhams was acquired by a consortium of private equity groups for £1.7bn (€2.5bn) in December 2003.