Billionaire sets out possible M&S bid

Billionaire Philip Green today launched his campaign for control of Marks & Spencer by outlining the terms of a possible takeover bid.

Marks & Spencer today stood firm against retail entrepreneur Philip Green by rejecting a £9 billion takeover proposal.

The retailer said the cash-plus-shares deal unveiled earlier today significantly undervalued the group and its prospects.

M&S also revealed that new chief executive Stuart Rose had begun a review of all aspects of the business to improve value for its shareholders.

The decision by M&S to reject the possible offer was widely expected in the City after shares fell 4 per cent today.

It presents a setback to Mr Green who had earlier said a firm offer hinged on a recommendation from the M&S board.

The entrepreneur is willing to pay shareholders a total of up to £7 billion in cash and a 25 per cent stake in Revival Acquisitions, a vehicle for his takeover proposal.

The Bhs and Arcadia boss said his family would pledge up to £1.05 billion to fund an offer, which he first mooted last week.