Harris Farm could be finally moving forward with plans for a sale, with the family owners giving more thought to the future of the business.
The understanding is that talks may have been happening with advisers.
The family are said to put a higher valuation on the NSW grocer chain than some had hoped for.
Harris Farm is understood to be highly profitable.
It is estimated to generate at least $50m of earnings before interest, tax, depreciation and amortisation, but some say it has about $500m of debt.
It could be worth well over $1bn, depending on the view of its expansion prospects.
Harris Farm has 27 stores in NSW and generates more than $500m in revenue. Coles, Woolworths and Metcash are all known to be keen, as would be private equity.
However, if the family wants to remain in the business it would be a deterrent for a buyout fund, with most private equity firms wanting full operational control.
Harris Farm was founded by David and Cathy Harris, who are now in their seventies. The company is run by their children Angus, Luke and Tristan.
The family is considering whether to sell the company, lists it on the Australian Securities Exchange or find an investor to fund expansion plans.
Now could be the right time, given that the chain of grocery stores no doubt reaped a bumper profit as the global pandemic saw consumers stock up on food supplies during sustained lockdown periods.
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