UK - Qatari fund moves for Sainsbury

Delta Two, a fund backed by the Qatari Investment Authority is in talks with retailer J Sainsbury over a possible ТЃ12bn bid. It was reported in the Financial Times that a 610p-a-share offer had been tabled, but a statement released by Delta Two stated that no decision regarding an offer had been made. The Qatari-backed fund already owns 25 per cent of Sainsbury. The battle for Sainsbury began earlier this year when a number of private equity firms made their interest known. In April, the retailer rejected a 580p-a-share offer from CVC. Following this failed offer, property entrepreneur Robert Tchenguiz increased his shareholding, which is now thought to be around 10 per cent. Paul Taylor, who manages Delta Two, is understood to have met with Tchenguiz to discuss a bid. However, it is believed Tchenguiz has his own plans for the property assets of the group and is reluctant to enter into an agreement with the Qatari fund.