Baugur acquires Selfridges stake

Acquisitive Icelandic raider Baugur has picked up a stake in Selfridges as it continues to seek out undervalued British retailers.

Baugur, which already has holdings in House of Fraser, Big Food Group and Somerfield, now has a 0.5 per cent interest in Selfridges.

A Baugur spokesman denied any ulterior motive. He said: 'This is an investment. We may add more at some point, but we may not. We believe the retail sector is undervalued, so that represents good value for us.'

Selfridges said the purchase is recognition of its good performance up to and including Christmas, store expansion plans and strong asset value.