Mike Ashley’s Frasers Group has confirmed it is in negotiations for a “potential rescue transaction” for Debenhams.
Frasers Group said it was in negotiations with the administrators of Debenhams’ UK business.
However, it added: “Whilst Frasers Group hopes that a rescue package can be put in place and jobs saved, time is short and the position is further complicated by the recent administration of the Arcadia Group, Debenhams’ biggest concession holder.
“There is no certainty that any transaction will take place, particularly if discussions cannot be concluded swiftly.”
It follows reports in the Sunday Times that Frasers Group and Debenhams were in talks for a deal that could value the chain at more than £200m.
Last week, Debenhams started winding down its UK operations following the collapse of rescue deal discussions with JD Sports.
Debenhams’ administrators from FRP Advisory said the business would continue to trade through its 124 UK stores and online to clear its existing and contracted stock.
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