One of the bidders lost to the crown jewel of Sir Philip Green’s former retail empire is about to win a comfort prize by buying the tycoon’s remaining logistical assets for more than 60 million pounds.
Sky News says JD Sports Fashion has begun exclusive negotiations to buy Arcadia Group’s distribution center in Daventry, Northants, amid a frenzy of interest from bidders.
Retail resources said Boohoo Group, Amazon and eBay had expressed interest in buying the warehouse in recent weeks.
An agreement has not yet been reached and JD Sports is expected to pay to win it is estimated Monday through analysts at between 60 and 90 million pounds.
This would result in the repayment of a 50 million-pound loan to Arcadia granted through Sir Philip’s circle of relatives last year and guaranteed as opposed to the Daventry site.
The volume of interest in the warehouse underlines the demand for logistical assets of the online grocery shopping teams that are suffering to deal with the call for the COVID-19 pandemic.
JD Sports is among TopShop’s failed bidders and TopMan, which were sold last month through Deloitte, Arcadia’s director, to ASOS.
Other marks of Sir Philip’s former empire went to Boohoo for about 25 million pounds.
Arcadia’s other remaining asset, regardless of size, is the lease of its flagship Oxford Circus store, which is the subject of a controlled sales procedure through KPMG.
JD Sports declined to comment on Monday.