3i reportedly seeking buyers for lingerie brand Agent Provocateur

London-listed 3i has hired investment bank Rothschild to sell the brand, Reuters reported on Tuesday, citing sources.

Sovereign wealth funds, high net worth individuals and distressed debt specialists are believed to have been approached about the sale of the business.

A source told Reuters 3i was considering retaining a minority stake in Agent Provocateur.

In November 3i said Agent Provocateur had been hurt by a slowdown in luxury spending, aggravated by the inconsistent execution of a recent store expansion programme and accounting issues.

3i wrote down the value of its investment in the chain by £39m in the six months ended September 2016, compared to a valuation of £42m in March 2016.

Restructuring company AlixPartners is said to have been in talks with 3i at looking at options for turning around Agent Provocateur.

In the 52 weeks to March 28, 2015 profit after tax for the brand fell to £3.7m from £4.7m a year earlier.

3i, Rothschild and AlixPartners all declined to comment on the report.