Chinese retailer JD.com is considering a potential £2bn bid for The Very Group as it looks to grow its foothold in the UK.
The Joybuy owner is said to have indicated an interest in making an offer for the online shopping platform, Sky News has reported.
It comes as an auction of The Very Group is due to get underway, months after private equity giant Carlyle took control of it following restructuring.
The potential offer from JD.com is the company’s third go at acquiring a British retailer. It abandoned talks to buy Argos last year and walked away from a takeover attempt of Currys.
It launched its own online shopping service Joybuy in the UK in March, offering fast delivery on thousands of products from well-known brands across groceries, beauty, homeware, tech and baby essentials.
The Very Group reported last week that its losses deepened during its third quarter to £82.1m in the 39 weeks to March 28. On an adjusted EBITDA basis, the retailer delivered 6.9% growth to £135.2m.
Sales remained flat for the period at £1.6bn as growth in its Very UK and Very Finance businesses helped to offset the managed decline of Littlewoods.
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