Baugur has left the door open on Somerfield, with a statement to the City that it was still considering another bid. The Icelandic retail group, which has UK holdings including Hamleys and Oasis, said: 'In response to speculation, Baugur announces it is reviewing its options with respect to Somerfield, one of which includes a possible offer. If a decision to proceed is made, it is Baugur's intention to approach the board of Somerfield to seek a recommendation.'
Somerfield rejected Baugur's£1 billion indicative offer for Somerfield last Thursday. Baugur acquired Big Food Group, owner of the Iceland chain of supermarkets, in November. It is also reported to have appointed a London broker to grab a 3 per cent stake in French Connection.