Goldman Sachs to bid for Germany's Karstadt: newspaper

23rd May 2010, Comments 0 comments

US banking giant Goldman Sachs is preparing an offer to buy Germany's Karstadt department stores, which include Berlin's famous KaDeWe, media reported said Sunday.

Karstadt, owned by the Arcandor group which filed for insolvency in June last year, is looking for a buyer for its remaining 120 department stores after being forced to close 13.

The Bild am Sonntag tabloid reported that property group Highstreet, of which Goldman Sachs holds 51 percent, will present an offer next week of around 40 million euros (50 million dollars).

Highstreet also owns many of the buildings that house Karstadt stores, found in the heart of several Germany cities.

Two other candidates are in the running to buy the stores -- capital investment fund Triton and private investor Nicolas Berggruen -- while Karstadt's competition, the German group Metro, is also interested.

"I can save the business," Berggruen was quoted saying in the Berliner Morgenpost although trade union Verdi has played down the seriousness of the billionaire who specialises in property.

Karstadt's creditors have until May 28 to examine the bids.

KaDeWe is one of the biggest department stores in Europe.

© 2010 AFP

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