US discount retailer Target has dampened rumours that it may consider launching a takeover bid for UK supermarket group J Sainsbury.

Target's chief financial officer, Doug Scovanner, said the retailer saw no overseas opportunities that met its acquisition criteria, and that any potential acquisitions would "have to be sites that could be traded as Target, and would have to have the same value-driving returns as our own domestic business", reported the Financial Times.

Target, which is selling its Marshall Field's and Mervyn's department stores for around US$4bn, had been rumoured to be interested in making a bid for struggling supermarket group J Sainsbury.