Debenhams Plc, Britain's second- largest department-store franchise, received a lucrative proposal from Permira Advisers Ltd. valued at approximately 1.5 billion pounds ($2.4 billion), the latest take over bid for a U.K. retailer. Competitors like Selfridges Plc and House of Fraser Plc also joins Debenhams in attracting takeover interests.

Permira, a London-based private equity firm previously known as Schroder Ventures Europe, is offering a cash bid of 425 pence a share, which increased Debenhams, shares with 29 percent. Permira, who has a history of buying and selling retail companies, in November sold U.K. home-improvement chain Homebase Group Ltd. to GUS Plc for 900 million pounds, acquiring more than five times its investment.

According to Andrew Grant, the retailer's representative, Permira approached Debenhams' board with its proposal last week. It is seeking to back a buyout of the company, which would include Chief Executive Officer Belinda Earl. Managers have been given permission by Debenhams' board to work on a proposal. Whether Debenhams plans to spend 430 million pounds opening nine new department stores and renovating others by spring 2005, while creating about 2,000 jobs, is still questionable.