Currys takeover bid abandoned after hedge fund’s offers rejected

US hedge fund Elliott has abandoned its attempt to take Currys private after two bids were rejected.

Elliott said yesterday that it is “not in an informed position to make an improved offer for Currys on the basis of the public information available to it”.

It added: “Elliott therefore confirms it does not intend to make an offer for Currys.” Shares in Currys fell 11pc after the decision was announced.

The Telegraph revealed in February that Chinese online shopping empire Jd.com had also been exploring a takeover of Currys.

Jd.com representatives made contact with Currys and held exploratory talks in recent weeks but have yet to make an offer. Elliott, which owns Waterstones, last month raised its offer for Currys after being rebuffed days earlier, attempting to seal a takeover at 67p a share in an offer that valued the business at around £756m.

The Currys board unanimously rejected the proposal, which would have given shareholders a 32pc premium on its valuation before the initial bid.

Elliott’s offer had triggered a backlash from some large investors, who claimed that Currys was worth far more given its annual sales of £9.5bn.

JO Hambro Capital, one of the company’s 10 biggest backers, said the offer highlighted the “absurdity” of the undervalued London market. Currys, a London-listed retailer that absorbed Dixons, PC World and Carphone Warehouse, has 300 UK stores and employs more than 15,000 people – but has shops across eight countries. Elliott bought bookstore Waterstones in 2018 and also has a stake in Foyles.

Last year the fund considered making a £500m bid for clothing outlet Reiss, and it financially backed lender Bantry Bay, which provided Matalan with a £60m financing deal. It has also provided lending to Asos and Superdry.

Elliott – known for seizing an Argentine naval vessel in 2012 as part of a debt dispute with the country – also entered the auction last year to buy The Body Shop, which has now fallen into administration, putting 2,000 jobs at risk.

Currys’ share price has been on a slow downward trajectory for the past three years as it struggles with the decline of the high street.