Saudi Arabia’s Public Investment Fund (PIF) has offered to raise its stake in the Selfridges department store chain to 50 percent, according to Bloomberg.
The other 50 percent of Selfridges is owned by Thailand’s Central Group, which two years ago bought the company in a joint venture with Signa Group for £4 billion (€4.7bn). Central Group took control of the chain in November of last year, shortly after Signa Holding entered into insolvency proceedings and its Chairman, René Benko, stepped down.
The PIF’s stake in Selfridges stands for the moment at 10 percent. According to an insolvency report filed by Signa’s flagship property unit on July 15 and since examined by Bloomberg, the PIF is proposing to pay £1 million (€1.3 million) in cash once it completes its due diligence and reduce its claims against Selfridges by £52 million (€61.7m). Bangkok Bank, senior lender to the Selfridges store on London’s Oxford Street, would in addition wave claims of about €733 million.
