Your browser is no longer supported. For the best experience of this website, please upgrade to a newer version or another browser.

Your browser appears to have cookies disabled. For the best experience of this website, please enable cookies in your browser

We'll assume we have your consent to use cookies, for example so you won't need to log in each time you visit our site.
Learn more

Matalan deal could fall through as deadline approaches

Matalan, the value chain, may fail to secure a sale this week as bidders balk at the £1.5bn price tag.

The bid deadline for Matalan is Friday, but fresh reports suggest that bidders are unlikely to match the asking price or reach the £1.2bn to £1.25bn break price, as revealed by Drapers.

Potential bidders are understood to include private equity houses TPG, BC Partners and Advent International. Investment group Warbus Pincus has also been linked to the deal.

According to The Sunday Telegraph, Advent International, which owns the Poundland value chain, remains interested but said the £1.5bn price tag is too high. The paper also reported that TPG is concerned about overpaying for Matalan and is preparing an offer between £1.2bn and £1.3bn with the backing of RBS and Lloyds.

Warbus Pincus is understood to be undecided as to whether it will bid, having bought lifeboat maker Survitec for £280m only last week.

Reports now suggest that the deadline for the deal could be pushed back a week to allow more time for bidders to put together their offers.


Have your say

You must sign in to make a comment

Please remember that the submission of any material is governed by our Terms and Conditions and by submitting material you confirm your agreement to these Terms and Conditions. Links may be included in your comments but HTML is not permitted.