House of Fraser is moving closer to reaching its goal of listing on the London Stock Exchange, with the department store poised to appoint HSBC and Numis as advisers.
As revealed by Drapers, the business is hoping to launch its initial public offering in May as part of a move that will reduce its hefty £250m debt burden, resolve issues with its complicated shareholder structure and allow the business to start investing for growth.
HoF held a beauty parade for possible advisers before Christmas. It is thought the business is looking to raise around £350m through the IPO. Rothschild is overseeing the possible listing.
It is also understood to be in talks with French department store chain Galeries Lafayette about a takeover. According to the Financial Times, chairman Don McCarthy is looking for a price of around £450m for the business.
HoF last week published strong Christmas trading figures, with like-for-like sales up 4.3% over the nine weeks to December 28. In the three weeks over Christmas the business saw sales rise 7.3%, with fashion the strongest performing category.