THE OWNERS of Irish retailer Superquinn are believed to be considering selling the company.
It is understood that the backers of Select Retail Holdings, a consortium of Irish investors that owns Superquinn, have hired Goldman Sachs' corporate finance team in London to seek out potential buyers.
It is believed the decision was made following an expression of interest in the business from a UK retailer.
Superquinn would be expected to fetch more than €450 million, the sum that Select Retail Holdings paid to buy the business in 2005 from its founder Senator Feargal Quinn.
According to informed sources in Britain, Goldman Sachs this week began contacting potential interested parties. These are believed to include the UK's major supermarket chains - Tesco, Asda and J Sainsbury.
Asda, which is owned by the American retail giant Wal-Mart, was recently rumoured to be considering an entry to the Irish market. Asda has previously been linked with Dunnes Stores but no deal materialised.
Tesco is unlikely to be allowed buy Superquinn given that it already has a 26 per cent share of the grocery market in the Republic and is the sector's biggest player.
In March, The Irish Times reported that property developer Bernard McNamara had sold his 14.5 per cent stake in Superquinn to his co-investors. The sum he received was never disclosed.
It is understood that Goldman Sachs was also engaged on that occasion to work on the sale of Mr McNamara's shareholding.
Mr McNamara was one of five shareholders to hold a 14.5 per cent stake in the business, the others being developer Jerry O'Reilly, property consultants David Courtney and Bernard Doyle, and hotelier Terry Sweeney.
Financier Simon Cantrell and accountant Kieran Ryan held 10 per cent prior to the sale of Mr McNamara's shares. Superquinn executive chairman Simon Burke, who runs the business, held 7.5 per cent.
Superquinn is said to be profitable again after a number of difficult trading years.
Latest market data gives it a 7.3 per cent share of the Irish grocery sector in terms of sales.
Superquinn increased its revenues last year to €620 million from €580 million in 2006. The supermarket group has been investing heavily in the refurbishment of existing outlets and the opening of new shops at Portlaoise, Rathgar and Naas. The consortium sold six Superquinn stores to Friends First last year for €142.5 million in a sale and leaseback deal. The money was used to pay down debt.
