Tesco And Sainsbury's Plan Fashion Brands

Tesco is thought to be planning to overhaul its fashion offer with brand acquisitions just as Sainsbury's is gearing up to unveil its revamped own-label clothing ranges. Tesco has been working hard in recent months to agree deals to secure replica football shirts, which it will sell at a discount to traditional sportswear retailers, but it is keen to broaden its clothing portfolio. It is now understood to have a multi-million pound war chest ready for fashion acquisitions.

Tesco is understood to have been keen to buy value sportswear brand Admiral before it was snapped up in a licensing deal by rival Asda last October, and it is looking at similar brands. The strategy of buying in brands has been employed by Matalan and Marks & Spencer, which bought its sports brand, View From.

Meanwhile, supermarket rival Sainsbury's is gearing up to launch its clothing brand Tu. The ranges, which will start to arrive in stores in July, are set for a full launch in September. The launch is part of an effort to catch up with its supermarket rivals' non-food ranges and is being spearheaded by its head of clothing, former M&S executive Richard Jones.