It has been reported that rival turnaround investors have begun working on acquisition plans following heightened speculation Home Retail Group is to sell Homebase.
The Telegraph has reported that Apollo, the Wall Street investment house, and OpCapita, the firm that led the takeover of Comet, have begun drawing up takeover plans for the home enhancement chain.

This interest has been increased by rumours that HRG, the parent company of Homebase, is looking to sell the retailer so it can concentrate on bolstering stronger chain Argos.

Homebase has 322 stores across the UK and annual sales of £1.5bn. In April, the company posted a like-for-like sales increase of 5.9% for the year.

Chief executive of HRG, John Walden, announced earlier in the year that he would be conducting a full-scale review of the group going forward.

Mr Walden is yet to reveal the outcome of this review, but according to the Mail on Sunday a final decision will be made in the coming weeks.

Diyweek.net understands that at present no advisors have been appointed to oversee any process.

Home Retail Group have declined to comment on market speculation.