Luxury boutique Liberty may find itself in another bidding frenzy. The store is currently controlled by Marylebone Warwick Balfour, the property group run by Richard Balfour-Lynn. The group is breaking up and returning cash to shareholders. A Liberty spokesman insisted it was not being marketed since it was not yet profitable nor a global luxury brand. The spokesman added that MWB had not decided whether to sell outright or place its 68 per cent stake.

It is understood that Baugur, owner of House of Fraser, may be working on a formal bid. A private equity firm is also thought to be eyeing the Aim-listed store. US investment fund Oaktree Asset Management tried to buy Liberty for £80m two years ago, according to the Observer.