// Made has started talking to a number of potential suitors about a sale of the business
// The furniture business has set a deadline of the middle of October for suitors to put forward indicative takeover proposals
Embattled furniture retailer Made.com has said it has begun discussions with a number of interested parties regarding a sale of the company, after revealing up to £70m in funding was needed over the next 18 months.
On 23 September, the business said it would be reviewing potential job cuts and a possible sale following an unsuccessful fundraising round.
The online furniture retailer said interested parties are invited to put forward non-binding indicative proposals in the middle of October, which the board of Made will review before selecting a number of parties to participate in a second phase.
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In its interim results, it said it needed more funding to “implement management’s plan to achieve the group’s longer-term strategy of sustainable profitability” and said it will make interested parties aware that to achieve this strategy, it would need roughly £45mln to £70mln in funding over the next 18 months.
Made.com stressed there was no certainty that an offer will be made, nor as to what the terms of any offer may be.
Last week, the retailer reported widening losses after a slowdown in demand for homeware items amid the cost-of-living crisis.
The company posted a loss before tax of £35.3 million for the six months to 30 June, versus £10.1m a year prior.
“The first half of the year was a challenging time for the global economy and particularly for the retail sector,” said chief executive officer Nicola Thompson.
Made said the review of worker numbers will take place “within the next few weeks” while it is not clear how many employees will be impacted by the cull.
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