Homebase owner Home Retail Group’s shares climb as retail veteran signals possible takeoverComments Off on Homebase owner Home Retail Group’s shares climb as retail veteran signals possible takeover
Shares in Homebase’s parent company Home Retail Group have soared as a veteran retail executive said he wanted to buy the struggling DIY chain.
Nicholas Marshall, who turned around the Garden Centre Group, selling it to Guy Hands for £276 million three years ago, said he had been eyeing up Homebase for a few years and was talking with private-equity houses about a takeover.
He told the Financial Times: “Undoubtedly something has got to happen. It can’t just sit there treading water.”
Today the shares jumped 8.2p to 111.1p, or 8%.
However, they remain at historically low levels.
It is the second time in just over a week there has been speculation Home Retail could be a takeover target, with private-equity firms said to be looking at the company’s other business Argos.
Homebase and Argos have looked vulnerable in recent months after the company issued a pre-emptive profit warning, complaining Christmas trading was too unpredictable due to Black Friday.