Chinese retailer JD scraps takeover approach for Currys

It comes after top US suitor, Elliott Advisors, decided not to make another bid for the retailer.

Anna Wise
Friday 15 March 2024 11:27 EDT
A second potential buyer for electricals giant Currys has walked away from takeover talks (Currys/PA)
A second potential buyer for electricals giant Currys has walked away from takeover talks (Currys/PA) (PA Media)

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A second potential buyer for electricals giant Currys has walked away from takeover talks, putting the brakes on a possible bidding battle.

Chinese online retailer JD.com said it did not intend on making an offer to buy the retailer.

It had been in the early stages of considering a bid, which could have been for the entire business, but said that “following careful consideration” it no longer plans to do so.

A top US suitor pulled out of talks with Currys on Monday.

Elliott Advisors, which owns bookseller Waterstones, had made two proposed offers for the company, the second of which valued it at about £757 million.

But the investment management group said Currys rejected multiple attempts to engage with the board, so it would not be making a third bid.

It means there are no remaining firms known to be eyeing the business for a takeover.

The bid interest came at a time that Currys is undergoing an overhaul to focus on its core UK and Ireland business.

It struck a deal last year to sell its Greek and Cypriot arm for 200 million euro (£157 million) and has been taking action to turn around its loss-making Nordics division.

Meanwhile, the retailer flagged a tough trading environment at the start of the year, with sales dipping over the crucial Christmas period as some consumers continued to make cutbacks.

The use of flexible credit options reached a record high with about a fifth of all purchases being made with credit, it revealed.

Shares in Currys were down by about 6% on Friday afternoon.

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