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Borders UK has appointed a new financial adviser to seek out "funding opportunities" but has refused to comment on speculation that the retailer is up for sale.
The retailer appointed Clearwater Corporate Finance this week, two weeks after it hired restructuring company RSM Bentley Jensen to advise it on how to "close" some underperforming stores.
Philip Downer, Borders UK c.e.o., refused to comment on whether the business has been put up for sale. Borders UK chairman Luke Johnson, whose company Risk Capital Partners owns the book chain, was unavailable for comment.
In a statement, a spokesperson said: "Following the successful completion of a series of major structural changes in 2008, when Borders UK invested in new IT systems, a new supply chain, disposal of underperforming stores and the launch of a transactional website, we are now well-placed to explore opportunities to take new retail space and develop new trading relationships at a time of significant format change in the products we sell."
It added: "Consequently, Borders UK has appointed an adviser to seek out funding opportunities. We will be keeping our staff and suppliers fully appraised of this activity."
Borders said last week it was continuing to market the 10 "small stores" in its portfolio, including Books Etc and Borders Express branches. Waterstone's took control of eight Books Etc stores from Borders UK in August last year. A smal consideration was paid by Borders to the stores' landlords as part of the deal.
Risk Capital Partners bought Borders UK for an initial £10m in September 2007 from its then parent Borders Group. The deal allowed for possible further payments of up to £10m depending on sales performance.