British-based suitors for Harvey Nichols have been told to submit offers on Tuesday as one of Britain's best-known department store chains prepares to pick a new owner.
Sky News has learnt that Frasers Group, the retailer founded by billionaire Mike Ashley, and Next are both expected to table bids ahead of a deadline set by advisers to Harvey Nichols' owner, Sir Dickson Poon.
The process to draw bids from UK-based suitors is running slightly ahead of a parallel set of discussions with international bidders for Harvey Nichols, according to insiders.
However, an outcome is expected from the auction within days, according to one prospective buyer of the brand.
Overseas parties said to have been examining an offer for Harvey Nichols include Dubai-based Chalhoub Group and India's Reliance Retail.
Sky News revealed last week that bidders have been informed that they need to commit up to £60m of investment to fund the transformation of the department store group.
That sum may deter Modella Capital, the owner of TGJones and Hobbycraft, from pursuing its interest aggressively after an acquisition spree which has included Poland and Scandinavia as well as the British high street.
Harvey Nichols has been owned by Sir Dickson for 35 years, but has recorded five successive years of losses.
Earlier this month, Sky News revealed that Harvey Nichols had told brand suppliers that it had been "obliged to allow Frasers Group to participate in the process alongside the other interested parties".
One bidder said the reference to an 'obligation' could point towards an eventual transaction implemented by way of a pre-pack administration process.
Frasers is pursuing a separate deal to acquire Hugo Boss, in which it already holds a large stake, but there has been no indication to date that this has impacted on its interest in Harvey Nichols.
Among the hundreds of brands sold at Harvey Nichols are Armani Beauty, Balmain, Cartier, Juicy Couture, Lancome, Max Mara, Nike, Polo Ralph Lauren and Spanx.
Sir Dickson's family, who bought the chain in 1991, have appointed FTI Consulting to advise on a sale of the business, with regional advisers also appointed to drum up interest among wealthy Gulf bidders.
Popularised by its frequent references in the 1990s BBC sitcom Absolutely Fabulous, Harvey Nichols employs about 1,200 people in the UK and Ireland, and trades from stores in cities including Edinburgh, Leeds and Manchester.
It also operates London's famous OXO Tower Restaurant on the South Bank, while internationally it has stores in Hong Kong, Dubai, Riyadh, Kuwait, and Doha.
Harvey Nichols traces its roots back to 1831, and had a spell as a public company, having floated on the London Stock Exchange in 1996.
It was taken private again a few years later.
In the most recent financial year for which financial results are available, revenue fell 5% to £204.8m in the 12 months to 31 March 2024, while losses before tax rose to £34m.
One insider said on Friday that Harvey Nichols' leadership team had presented a "highly credible" business case to prospective buyers, adding that the company was confident of achieving an outcome which secured the business's long-term future.
Harvey Nichols and Next declined to comment, while Frasers has been contacted.
(c) Sky News 2026: Next and Frasers to lodge Harvey Nichols takeover bids tomorrow
How Shein has lost its shine as flotation nears
Commemorative coin producer London Mint Office in scramble to find buyer | Mark Kleinman blog
Facebook co-founder Saverin invited to join bid for Liverpool FC stake
Premier League clubs prepare to vote on landmark £1.5bn deal with EFL
US imposes new tariffs on dozens of trade partners over 'forced labour' imports
Harvey Nichols bidders urged to commit £60m to turnaround plan
The mistake to avoid when switching mobile provider | Money newsletter
Electricity supplier So Energy in talks about sale as Irish owner pulls plug
