Thresher joins Londis queue

THRESHER has become the latest retailer to approach the convenience store chain Londis with a view to bidding.

Thresher, Britain's largest off-licence chain, is owned by Guy Hands' Terra Firma Capital Partners and is experimenting with new retail formats in the face of fierce competition from supermarkets, which have grabbed a large share of the wine market.

The strategy involves replacing the Bottoms Up and Victoria Wine formats with revamped Thresher outlets.

Thresher recently acquired leapingsalmon.com, an online provider of gourmet meal packs.

According to City sources, a more concerted move into a mix of food and wine is high on its agenda.

Hands, formerly of Japanese investment bank Nomura, paid £225m for the Thresher businesses in 2000. Thresher joins a list of up to 10 retailers to have contacted Londis adviser KPMG over the sale of the near 2,000-store convenience chain and wholesale arm.

Supermarket groups Somerfield, Co-op and Big Food Group have also been declared as possible bidders.

The sale process started in December after the Londis management announced an agreed £40m bid from the Irish food group Musgrave.

It emerged that the Londis shopkeeper shareholders would land windfalls of £10,000 each in the event of a takeover.

But at the same time, details leaked out of a controversial clause that would entitle four directors to £20m. This has caused widespread condemnation.

Londis chairman Peter Williams has since agreed to review the multi- million pound executive option scheme and has said that he and chief executive Graham White would resign if they fail to agree a deal with shareholders to sell the chain.

Neither Londis nor Thresher would comment.