Barclays Capital is leading a group attack on Somerfield Plc, Britain's fifth biggest supermarket.
The consortium apparently includes Apax Partners Worldwide LLP, the Tchenguiz Family Trust and Baugur Group HF, the acquisitive Icelandic investment group.
The Regulatory News Service announced in a statement yesterday that discussions for ownership of the Kwik Save and Somerfield supermarkets were still at a "very early stage'.
The statement however conceded: "The consortium is very well placed to be able to put forward a proposal which we believe the board of Somerfield will find attractive."
Even so, it added that at present there was "no certainty that any offer will be forthcoming or of the terms of any such offer.'
It appears the consortium companies have decided to join forces after several months of unsuccessful independent bids.
In February, Baugur had its £1.03 billion bid rejected by Somerfield.
And last month, the Barclays-Apax-Tchenguiz joint consortium proposed an offer of 205p a share, valuing Somerfield's equity at £1.12 billion.
It is felt Baugur, which already owns 5.5 per cent of Somerfield, would sell its stake in Iceland should the deal with Somerfield go through.
In November last year, Somerfield was believed to have net debt of £87.4 million.
Barclays-led consortium bids for Somerfield
Financial Services
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Barclays-led consortium bids for Somerfield
Wed, 13 Apr 2005
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