Barclay twins ponder sale of £2bn retailer

THE billionaire Barclay twins look set to sell their stake in Liverpool-based retail company Shop Direct.

Sir David and Sir Frederick Barclay, who also own the Daily Telegraph and a raft of hotels including London’s Ritz, are reported to be considering selling 25% of their interest in Shop Direct, which owns the Littlewoods and Very.co.uk online retailers.

According to Sky News, the deal could value Shop Direct at more than £2bn.

Meanwhile, the Guardian has reported initial talks over the sale took place last year and that Sir David and Sir Frederick were keen to capitalise on the business’s return to profitability.

Profits rose 78% to £71.7m in the year to June 2015, its third consecutive year of profits after years of losses. The business is understood to be on track for another profits lift this year.

“They are not going to sell the Telegraph or the hotels, those are both iconic businesses, but Shop Direct is not a long-term hold.

“The turnaround is pretty well done and they could get some value off the table,” said one source told the Guardian.

Any move to sell a chunk of Shop Direct would be a departure from the Barclays’ usual modus operandi, as they usually own all of their businesses outright.

Although public flotation is an option, the Barclays’ love of privacy looks likely to prevent such a move.

A spokeswoman from Shop Direct told TheBusinessDesk there would be no comment from the company.