Federated Department Stores Inc. has given Peter Lytle additional time to pull together financing for Federated's Fingerhut Cos. catalog subsidiary, according to wire service reports.
Lytle's company, Business Development group Acquisitions Inc., signed a non-binding letter of intent to purchase the unit. According to reports the agreement was contingent on Lytle obtaining financing by the end of this week.
Another suitor, an investment group lead by former Fingerhut CEO Ted Deikel, asked for a response to its earlier bid, which will expire today. Fingerhut had not responded to the request as of mid-morning, reports said.
Federated has said that it would close Fingerhut unless a buyer could be found. The company employs 4,700 workers in its Wayzata, MN headquarters, and another 1,300 in Tennessee.
