BAUGUR, the Icelandic retail investor, and PPM Ventures, the private equity house, are to go head-to-head for Jane Norman today when first-round bids for the high street fashion retailer are due.
Graphite Capital, the private equity owner of Jane Norman, is expected to raise about £110 million from the sale of the business, which it bought for £70 million in 2003.
Hawkpoint was appointed to organise a sale in February.
The same adviser helped PPM to sell the Oasis chain to Baugur two years ago, laying the foundation for the Icelandic firm’s invasion of the British fashion business.
If Baugur wins the battle for Jane Norman, it will have stakes in eight fashion chains in the UK, a similar number to Philip Green, the owner of Bhs and Top Shop.
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It is understood that Baugur does not plan to buy Jane Norman through Mosaic Fashions, the group that includes Oasis, Karen Millen and Whistles, which Baugur floated on the Icelandic stock exchange this month. Barclays Private Equity, thought to be a front-runner in the buy-out of Jane Norman, is understood now to have pulled out of the race, as has Bridgepoint, a rival private equity firm.
Jane Norman operates just under 100 outlets through stand-alone stores and concessions. It was set up in 1952 by Norman Freed, who retired 11 years ago and cashed-out of the business two years ago at the time of Graphite’s acquisition. His daughters, Alison Goldberg and Sara Phillips, hold small stakes in the retailer, which is led by Saj Shah, the chief executive.