Jigsaw approaches Hobbs and Whistles owner about potential buy-out

Premium high street chain Jigsaw is reported to have approached a number of investors about a potential take-over of the business, including South Africa's The Foschini Group, which already owns fellow British brands Phase Eight, Whistles and Hobbs.

According to Sky News, the business, which was founded by John Robinson in 1970, has been in talks with a number of potential buyers and has invited them to submit bids by the end of this week.

KPMG is overseeing the process and is believed to be considering further options including a potential refinancing deal having spoken to several asset-based lenders about this possibility.

Jigsaw, which operates 80 standalone stores and reported sales of £95m in 2016, is said to be trading well but is also said to have been hit by higher import costs due to the fall in Sterling's value after the Brexit vote, and KPMG wants to tie up a deal before Christmas.

Rumours that the business was seeking a potential buyer emerged last month, however the business said at that time no formal sale process was underway.

The Foschini Group acquired Hobbs earlier this month, having acquired Whistles in March of last year and Phase Eight in 2015.