Home Retail Group statement regarding Sainsbury's announcement

Home Retail Group has published a statement following today's announcement by Sainsbury's regarding an offer that it made for the business in November 2015.

The Board of Home Retail Group plc ("Home Retail Group" or the "Company") notes the announcement by J Sainsbury plc ("Sainsbury's") and confirms that in November 2015 it received an approach from Sainsbury's regarding a possible cash and share offer for the Company.

Having reviewed the approach with its advisers, the board of Home Retail Group rejected the approach which undervalued Home Retail Group and its long-term prospects.

In accordance with Rule 2.6(a) of the City Code on Takeovers and Mergers (the "Code"), Sainsbury's will have until 5.00pm on 2 February 2016, being 28 days after today's date (or such later time and / or date as may be agreed by the Takeover Panel in accordance with Rule 2.6(c) of the Code), to announce either a firm intention to make an offer for Home Retail Group in accordance with Rule 2.7 of the Code, or that it does not intend to make an offer, in which case the announcement will be treated as a statement to which Rule 2.8 of the Code applies.

There can be no certainty that a firm offer will be made, nor as to the terms on which any firm offer might be made. The Board will issue a further statement if and when appropriate. In the meantime, Home Retail Group shareholders are advised to take no action.

Home Retail Group is scheduled to release its latest trading statement on 14 January 2016.

This announcement is being made by Home Retail Group without the prior agreement or approval of Sainsbury's.

The full text of this announcement is available here. 

Source : Home Retail Group Press Release
www.homeretailgroup.com