Moss gives Ahmed the brush-off

MOSS Bros has rejected a further preliminary takeover approach from fashion entrepreneur Shami Ahmed. Ahmed's advisers at West LB Panmure wrote to Moss Bros on Tuesday formalising a verbal approach but, according to Moss Bros, adding extra preconditions and demanding a high level of due diligence.

Ahmed has argued that his request for additional information on the company is justified, given its recent turbulence and the lack of a Christmas trading update. He also insisted Moss Bros signs a penalty clause of £250,000 triggered if it is taken over by the end of the year.

He appeared to suggest he might offer considerably more than his indication of at least 40p a share. The letter stated he would consider paying approximately net asset value, which in October was 51p a share.