Safeway confirms Green approach
Bhs and Arcadia boss enters supermarket free for all
January 19 2003
Safeway has said that Philip Green has requested financial information in order to consider a bid for the supermarket chain.
Bhs and Arcadia owner Green has asked for the same financial information that Safeway to Morrisons before its agreed on pound bid for the group.
Green is expected to make an announcement regarding Safeway on Monday. There has been media speculation that Green’s friendship with former Asda chief executive Allan Leighton might prompt the two to team up to join the four bidders already circling Safeway.
While his background is in the UK clothing retail sector, Green has long recognised that a one-stop shop approach appeals to UK consumers. Bhs ran trials of food areas, operated by Iceland, after Green acquired the business. Leighton’s involvement in the successful launch of the George at Asda clothing range would be invaluable in establishing an increased non-food offer at Safeway.
With no presence in the supermarket sector, a bid by Green would not present the same competition issues as bids from Sainsbury’s or Wal-Mart, both of which are also considering offers for Safeway.
