ScS & Mike Ashley battle it out for Sofa.com
Furniture retailer Sofa.com has caught the attention of two major retail players, with rival ScS and Mike Ashley both expressing interest in taking over the business.
In a statement to the market on Tuesday, furniture and flooring retailer ScS confirmed it wanted to acquire Sofa.com, which was put up for sale last month.
However, there was no certainty a deal would go ahead. The news comes after Sports Direct’s majority owner Mike Ashley reportedly approved a multi-million-pound bid for Sofa.com, according to Sky News.
Sofa.com has concessions in House of Fraser, which Sports Direct bought out of administration in August last year. ScS also has concessions in department store chain, but after they delivered lower sales and earnings in October it announced it would withdraw from seven House of Fraser stores.
Sofa.com subsequently revealed it would be taking the place of ScS across its House of Fraser concessions. Ashley and ScS are reportedly the two remaining bidders in Sofa.com’s sales process, which is being handled by KPMG.
Ashley’s expression of interest in buying Sofa.com marks the third business he is trying to acquire since the start of the year, alongside attempts to buy HMV and Patisserie Valerie out of administration. In addition, given he has a significant 29.7 per cent stake in Debenhams, he played a key role in ousting Debenhams chairman Sir Ian Cheshire off the board earlier this month
News Source: Retail Gazette