Ethel Austen in takeover

Value retailer Ethel Austin is in a takeover bid spearheaded by Credit Suisse. The investment bank, backed by distressed-debt hedge funds, including New York-based Eos and London-listed Blue Bay, have offered a deal to inject about £5m into the company. In return, they would secure about 70% of the equity in

Ethel Austin has 300 stores extending from Scotland to the South West, and from Wales to the South East. Under the deal, ABN Amro Capital, which controls Ethel Austin, would be left with only 4% of the equity.