Retail entrepreneur Don McCarthy is understood to be among the interested parties eyeing young fashion brand Superdry and its retail chain Cult Clothing.
McCarthy and private equity firm Isis are believed to be among eight parties vying to buy a 25% to 35% stake in the business.
Supergroup, the holding company behind Cult Clothing and Superdry, is seeking an investor to help fund expansion plans. It appointed investment bank Rothschild to sell the stake last month. Superdry aims to open 45 concessions in House of Fraser this year.
McCarthy’s interest in the firm is understood to have been fuelled by its relationship with HoF, where McCarthy is executive chairman.
Supergroup also has plans to roll out its Cult Clothing stores in the UK and open international franchises.
A deal with McCarthy would mark his first solo investment in fashion and retail. Since he sold Rubicon Retail to Mosaic Fashions in 2006 he has invested alongside Icelandic investor Baugur, including buying HoF.
Supergroup is thought to have been valued at £70 million and second round bids are due by mid-March. Neither McCarthy or Isis were available for comment.