News: DJs chief dismisses takeover rumours

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David Jones Limited’s (ASX:DJS) chief Paul Zahra has weighed in on speculation the department store is a takeover target. 

According to News Limited publications Mr Zahra admitted there have been lots of rumours about the private equity play but says the department store is yet to receive any credible offers. 



Analysts have reported DJ’s property is worth more than its book value and its earnings downgrade has created a situation where value could be realised by selling to private equity buyers.



Mr Zahra’s comments come as DJs yesterday revealed the sixth straight quarter of falling sales with sales for the year to date down 5.6 per cent.

In the first half of its 2012 financial year David Jones reported a net profit of $85 million.