Iceland to move into electrical goods and clothes

An alternative investment plan has recently been sent to potential buyers of Iceland, the frozen supermarket chain. The plan outlines the chain’s ability to start selling other items, such as electrical goods, video games, and clothing.

Many electronic goods that are being sold in some of the largest supermarket chains in the UK have been heavily discounted in order to get people into their stores. Many consumers are now looking for shopping opportunities in one place, and supermarkets are stepping up to this demand.

Tesco currently sell a very large range of toys and it is actually the largest toy retailer in the UK. It seems that the buyer of Iceland would be recommended to start selling these types of products as well. The second round of bidding on the supermarket chain has recently begun and Bain and BC Partners are known to be involved in the bidding.

The founder of Iceland, Malcolm Walker, is also bidding on his own company and has offered a little over £1 billion. Currently he holds a near 25% share of the company which means he is entitled to refuse bids. It is estimated that Iceland’s profit this year will be around £220 million. The bid for the company by Mr Walker is expected to be too low and would likely prevent a sale of the supermarket.