Venture capitalist offers 58.2p per share
Variety store group Woolworths is to allow venture capitalist Apax to begin due diligence after the private equity group proposed a 58.2p per share deal.

The price is 3.2p more per share than the top end of the 50p to 55p range previously suggested by Apax, and values Woolies at approximatelyÂŁ837 million.

Royal Bank of Scotland is lined up to provide Apax with a debt package to help fund the acquisition.

The Takeover Panel had told Apax that it must make its intentions on Woolworths clear by midday on Monday, but a new May 6 deadline for a formal offer has now been set.

Broker Numis believed 58p was a full price, but it was still far from certain that a deal would happen. 'Due diligence has not yet started and all VCs are well known for 'chipping' initial indicative values,' the broker said.

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