Tesco eyeing Mothercare: reports
20 Jan 2014
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Tesco is considering a bid for mother and baby products retailer Mothercare in a bid to help reinvigorate its British hypermarkets.
According to The Sunday Times report citing retail sources Tesco examined a bid six months ago but had put the plan on hold.
However, Reuters reported, the retailer had made no approach so far but cited banking industry insiders saying the recent fall in Mothercare's share price could rekindle Tesco's plan.
The company had warned earlier this month that full-year profit would reach only half of what analysts had expected, following record Christmas discounting and as a drop in the number of visitors to its stores hit sales and margins.
The shares of the company are down 42 per cent over the past six months.
