Sports Direct ups Debenhams interest
Now close to 30 per cent share, which triggers offer for department store
Sports Direct has increased its stake in department store chain Debenhams to 29.7 percent and is seeking to extend its relationship with the firm to“a strategic partnership”.
Under the UK’s takeover code, any shareholder that increases its stake above 30 per cent must make an offer for the remaining shares.
Back in 2014 Sports Direct purchased a 4.63 per cent stake and said it wanted to work with Debenhams at an operational level. That led to Sports Direct putting its sportswear in a handful of Debenhams’ stores.
“We see huge value for both companies in a strategic partnership between Debenhams and Sports Direct,” said Liam Rowley, head of strategic investments at Sports Direct.
“Importantly, there is scope for greater collaboration in the UK in order to roll out an elevated offering to consumers,” said Rowley.“We believe Sports Direct can complement Debenhams very well across the spectrum.”