Waterstone's founder 'in bid to buy back book train'

Tim Waterstone, who founded the eponymous book chain, is understood to be putting together a £250m (€366.5m) deal to buy it back, it was reported today.

Mr Waterstone, who stood down as chairman of the group in 2001, is said to have secured funding for an offer from private equity firms, according to a report in the Sunday Telegraph newspaper.

The news comes just days after the book chain’s parent company HMV received a preliminary bid approach, widely thought to be from private equity group Permira.

Permira is expected to table a formal offer for HMV later this week, valuing the group at around £800m (€1,173).

Mr Waterstone is understood to be awaiting HMV’s response to the Permira bid before stepping in himself.

If HMV decides to defend itself against the bid, he is expected to step in with an offer for the book chain.

But if Permira is successful, it is thought he will try to acquire Waterstone’s through a secondary buyout.

Mr Waterstone is reported to be keen to regain ownership of the book chain, which has passed in and out of his control since he founded it in 1982.