Sainsbury’s shares jump on fresh bid rumours
Target seen as front runner
Sainsbury’s has seen its share price boosted after heavy City trading in the supermarket operator, linked to rumours of a takeover approach.
US discount retailer Target, known to be looking at routes to expansion and linked to a possible bid for Sainsbury’s last month, is said to be the front runner. Bhs and Arcadia owner Philip Green was quick to quash City speculation that he was planning a bid.
During trading on Thursday, Sainsburys shares hit their highest level since June, although the price later slipped back. Around 26m shares changed hands, more than double the daily average volume.
Philip Green, who approached Sainsbury’s last year to discuss a potential offer, told news agency Reuters: “It’s absolute rubbish. I’ve been back in the UK for 48 hours and I haven’t talked to anyone.”
Target said it did not comment on market speculation.
