Evans on the hunt for new owner

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Evans Cycles has put itself up for sale as it looks to secure £20 million to fund its rescue plan.

According to a report by the BBC, PwC is managing the sale and is in talks with a number of potential buyers.

Founded in 1921 by London cyclist Frederick W Evans, the retailer is now owned by private equity firm ECI Partners, who originally appointed PwC to advise it on a financial restructuring.

It’s thought Evans could need around £20 million to fund a turnaround plan, of which its current backers and bankers will provide half.

That leaves another £10 million to be raised via a sale of the business, which currently trades from more than 60 outlets in the UK.

Evans posted a pre-tax loss of £2.5 million in the year to October 28 2017, despite sales edging up for that time, and a loss of £5.8 million the year before.

It is understood PwC has asked for bids by the end of next week, although Evans is not thought to be seeking a rescue deal or company voluntary arrangement.

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