Selfridges co-owner Central Group eyes Signa's stake

Selfridges’ Thai co-owner Central Group could take greater control of the department store following the collapse of fellow shareholder Signa Holding.

The Selfridges Group was acquired by a joint venture comprising Central and Signa for £4 billion in August 2022.

However, the future of the venture became uncertain after Signa – the property empire built by Rene Belko – called in restructuring experts last year in the face of a significant cash-crunch.

Benko was ousted from the business, which also had joint ownership of the Chrysler Building in New York, in October 2022 amid talks to bolster its finances.

However, Signa filed for insolvency last week. As a result, the firm's stake in the Selfridges Group is set to come up for sale to recover money for its creditors, according to The Sunday Times.

Central is understood to be keen to increase its position in the department store, although a spokesperson for the Thai group declined to comment.

Selfridges’ owners separated its retail operations and property holdings into two separate companies — an "opco" and a "propco".

In November, as Signa battled financial challenges, Central took majority ownership of the "opco" by conventing a loan into equity.

The newspaper said one option for Central could now include taking a bigger stake in the "propco", which would give it majority control over both group entities.

A spokesperson for Selfridges Group said that Signa’s collapse "does not change anything for Selfridges".

"Selfridges trades independently from its shareholders. We are delighted to have the ongoing and unwavering support of Central Group," they said.