Mamut "given Waterstone's deadline"

Mamut "given Waterstone's deadline"

Russian investor Alexander Mamut and Tim Waterstone have reportedly 15 days to put a bid together to buy Waterstone’s.

On a blog on Sky News, reporter Mark Kleinman said: "Nomura, which is advising Waterstone's troubled owner, HMV Group, has offered Mamut and the chain's founder, Tim Waterstone, about 15 more days to come up with an offer to buy it."

He said if the deal goes ahead, Waterstone is likely to be appointed life president with current m.d. Dominic Myers' job expected to remain the same.

Earlier this morning, HMV Group announced its third profit warning this year, stating profit before tax was likely to be £30m, £8m less than the last prediction. The figure is a third less than city analysts predicted at the beginning of the year.

Kleinman said: "The tight deadline underscores how urgently HMV is now seeking a buyer for Waterstone's despite saying until a couple of weeks ago that offloading the chain was not an option it was actively exploring."

The group also announced this morning it had received a two-month extension to pass bank covenant tests, from 30th April to 2nd July.