Hunter denies new HoF offer
No plans for new bid for department store group
December 24 2003
Retail entrepreneur Tom Hunter has denied newspaper reports that he plans a new bid for House of Fraser.
Shares in the UK department store group jumped earlier this week as rumours of a potential, bid for the business swept the City. Hunter was linked to a new bid after he met with Icelandic retail group Baugur a few days ago.
Baugur owns an 8 per cent stake in HoF while Hunter has 11 per cent holding. The two planned to unite in Hunter’s previous potential bid for HoF, a move which was rejected by the retail group at the start of the year.
However, a spokesman for Hunter insisted reports of a new bid were ‘festive fiction’. He said the recent meeting was a board meeting of property firm LXB, in which both Hunter and Baugur are shareholders.
House of Fraser has seen its share price decline by about 10 per cent over the past year, and is seen as a likely target for bidders hoping to play a role in consolidating the UK department store sector.
