Frasers Group PLC (LSE:FRAS) has confirmed it is running the rule over Revolution Beauty Group PLC (AIM:REVB) and could make an all-cash offer.
However, the retail group said there is "no certainty" that it will make a takeover bid.
The owner of Sports Direct, House of Frasers and Evans Cycles retail chains made an announcement to investors in response to Revolution's statement the day before, confirming that Frasers was one of "a number" of interested parties were conducting due diligence after it put itself up for sale last month.
"It is currently contemplated that any offer for the issued and to be issued share capital of Revolution Beauty would be all cash," Frasers said