M&S delays sale of Kings chain

MARKS & Spencer's proposed sale of its American supermarket chain Kings has been given yet another deadline. The deal is not now expected until the end of March.

Negotiations to sell the 27-store group to US chain Gristede's for about £120 million were expected to be concluded by now. M&S chairman Luc Vandevelde told the City to expect an announcement by the end of January. But after a last-minute wrangle on price, the deadline was extended by a further three weeks. Both sides claim the deal is still on track, but warn investors not to expect completion before March 31.

The sale, announced last March, is part of M&S's plan to shed its international operations. It bought Kings in 1988 from the Bildner family for £63 million.

Attempts to sell the chain in 1999 were aborted because offers were not high enough.