Poundland owner makes bid for Harvey Nichols

Gordon Brothers made an offer for loss-making Harvey Nichols ahead of a deadline earlier this week, Sky News reported. Harvey Nichols has been put up for sale by tycoon Sir Dickson Poon, who has owned it for more than three decades.

Other retailers interested in acquiring Harvey Nichols are understood to include Mike Ashley’s Frasers Group and fashion powerhouse Next, as well as overseas investors including Dubai’s Chalhoub Group and Indian giant Reliance Retail.

A deadline of last Tuesday was set for UK-based potential buyers to submit offers. It is understood that a further deadline has been set for next week.

Would-be buyers have been told that they must commit up to £60m of investment to finance the continuing transformation of Harvey Nichols, which has not made a profit over the last five years. It is thought, however, that elements of the transformation already under way, such as investment in the flagship store in London’s Knightsbridge, have helped improve performance.

Harvey Nichols was founded in 1831, and became particularly famous after frequent namechecks in the comedy series Absolutely Fabulous in the 1990s.

As well as the London shop, Harvey Nichols has branches in UK locations including Edinburgh, Leeds and Manchester, as well as overseas stores including in Dubai and Hong Kong.