Argos and homebase could face £4bn takeover bid
Top retail chains Argos and Homebase could be the subject of a fresh £4bn (€6bn) takeover bid, it was reported today.
The Sunday Times said two of the world’s biggest buyout groups, Blackstone and Kohlberg Kravis Roberts (KKR), have teamed up to get their hands on the stores.
GUS, which owns Argos Retail Group (ARG) home to Argos and Homebase – last month spurned expressions of interest in the shops, as well as at its Experian credit checking arm.
The company, which has a market value of £8.67bn (€12.6bn), instead said it was sticking by its decision to carry on with a demerger of the two operations.
The group expects to raise about £800 million through the issue of shares in Experian following the demerger, which will see Experian and ARG separately listed in London.
However, the paper reports – despite the statement of intent – that Blackstone and KKR are keen to pursue a deal for the shops ahead of the demerger.
Meanwhile, there are still thought to be potential bidders sniffing around Experian, which has already been the subject of buyout offers in the past.
The division provides credit checking services and has also struck deals such as the £273m (€396.5bn) acquisition of website PriceGrabber.com, which allowed shoppers to compare retailers’ prices.
The Nottingham and California-based wing posted record profits in recent results from GUS and helped offset a decline in earnings at ARG.
