Garden centre group Dobbies has reported strong like-for-like sales growth in a trading update for the 10 weeks end...
Garden centre group Dobbies has reported strong like-for-like sales growth in a trading update for the 10 weeks ending January 7.

The retailer's comparable store sales, excluding new and refurbished shops, rose by 6.3 per cent over the period, on total sales up 31.7 per cent.

Broker Teather & Greenwood upgraded its forecast for Dobbies' full-year profits from£6.1 million to£6.3 million. Dobbies will report preliminary results for the year ending October 31 on January 30.

There is ongoing speculation that retail tycoon Sir Tom Hunter, who controls rival garden centre retailer Wyevale, may bid for Dobbies.

However, Teather & Greenwood analyst Rhys Williams said: 'One has to question at what price Tom backs away, with certain analysts asking for a£14-plus take-out price. Assuming that the property is valued at£7 per share, this is a significant premium for the operational aspect of the business and we do not believe that the synergies of putting it together with Wyevale will justify this.'

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