Anglo-French electricals group Kesa may sell loss-making UK chain Comet and delist its shares from the London Stock Exchange.
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If a sale of Comet cannot be achieved, alternative proposals include a loan restructuring that would involve a pre-pack administration of Comet and the closure of many stores, the Sunday Times reported.
Kesa is under pressure from investors to examine a break-up enabling it to focus on Darty, its profitable French business, and be quoted only on the French stock market.
Kesa’s board, chaired by David Newlands, has discussed various options with Knight Vinke, the activist investor that holds an 18% stake in the business.
Comet is expected to post a loss this year in the wake of tough conditions in the electricals market. A fortnight ago managing director Hugh Harvey abruptly departed and was succeeded by former commercial director Bob Darke.