Londis rejects claim that it was seeking offers

Convenience store group ADM Londis has denied claims by rival BWG that it effectively put itself on the market earlier this year. The group, which has a network of 350 stores around the State, says it was merely dealing formally with a series of unsolicited approaches for its business.

BWG, which owns the Spar and Mace chains in the Republic, bid €35 million for Londis in March. The Londis board summarily dismissed the offer.

Last week, it emerged that BWG and two other groups had been invited to submit bids for the group. BWG chief executive Mr Leo Crawford said the rejection of its offer so swiftly and without negotiation had been a surprise.

Londis accepts it appointed KPMG Corporate Finance to advise it of its options. However, it says this was merely with the intention of dealing with a number of unsolicited approaches on a formal basis.

A spokesman for Londis said that BWG wrote to Londis expressing an interest in buying the company in May and August of last year.

Londis did not respond to the May offer. However, the approach in August, "combined with interest from other parties, led ADM Londis to engage KPMG Corporate Finance", according to spokesman for the company.

KPMG approached the three groups interested in Londis and the best offer to emerge, the one from BWG, was put to the Londis board but was rejected unanimously.