Mike Ashley's Frasers leads race to buy Harvey Nichols, Sky News reports
Frasers Group Emerges as Frontrunner in Harvey Nichols Acquisition
Aug 7 (Reuters) - Billionaire Mike Ashley's Frasers Group is the frontrunner to buy British department store chain Harvey Nichols, Sky News reported on Friday.
A transaction, the latest in a string of high-street acquisitions by Ashley, is expected to be completed early next week, the report said.
Key Details of the Potential Deal
Responses from Involved Parties
• Harvey Nichols declined to comment on the report. Frasers did not immediately respond to a Reuters request for comment. Reuters could not independently verify the report.
Ownership and Competing Bids
• A deal would end 35 years of Harvey Nichols' ownership by Hong Kong businessman Sir Dickson Poon.
• It remained possible until Friday afternoon that Harvey Nichols' rival bidder Next could yet sweeten its bid, the report said.
Mike Ashley's Perspective
Comments on Harvey Nichols' Situation
• Earlier this week, Ashley told the Financial Times that Harvey Nichols is in a "death spiral" and turning around the luxury department store chain would be a "huge challenge".
Expected Sale Price
• Ashley, in the FT interview, said he expected Harvey Nichols to be sold for less than £40 million.
Other Interested Parties
• Sky News had reported in July that British private equity firm Modella Capital was also among the parties interested in acquiring the British department store chain.
Reporting Credits
(Reporting by Sri Hari N S in Bengaluru; Editing by Shilpi Majumdar)
