Takeover interest at Whittard of Chelsea is again brewing after the tea and coffee retailer revealed it had received a fresh approach.
Potential takeover parties walked away in the summer but shares recovered by more than 20 per cent yesterday as Whittard said it had been lined up once more.
The group operates from 127 shops - including stores in Birmingham, Solihull, Warwickshire and Worcestershire - but has been hit by tough trading conditions over the last year.
Seymour Pierce analyst Rhys Williams said it was unclear who was behind the move and how far discussions with the company had progressed.
He added: "Despite its weak trading and profit performance recently, as a brand it continues to attract and its long-term overseas growth opportunities remain strong."
Mr Williams said he was looking for an offer of £1 a share, valuing the company at £24 million and higher than the current price of around 90p.
Whittard did not say in the summer why the bid parties pulled out, but it came after the company painted a weakerthanexpected picture of trading.
The retailer warned business in central London and at its tourist stores had been "materially affected" and that the downturn could last until Christmas.
The company operates in Birmingham's Bullring and Pavilions as well as Mill Lane, Solihull and Leamington Spa, Stratford and Worcester.