UK grocery retailer Somerfield has said that it has reached agreement with the consortium consisting of Apax Partners Worldwide, Barclays Capital and The Tchenguiz Family Trust on the terms of a recommended cash offer for Somerfield at a price of 197p (US$3.44) per share.

Somerfield said that the agreement was subject to finalising financing, and that a further announcement would be made later on Friday.

“There can, however, be no certainty that an offer will be made,” the company added.

Last week London and Regional Properties (L&R) announced that it had decided not to proceed with an offer for Somerfield, leaving the Tchenguiz consortium as the only party left in the bidding process.

The Takeover Panel had set a deadline of 14 October for takeover offers.