Welspun, GHCL may be eyeing Linens ’n Things

The market was rife with speculation on Wednesday that textile majors Welspun India Ltd and Gujarat Heavy Chemicals Ltd (GHCL) were in the race to buy US-based Linens ’n Things for $1.1 billion.But the two companies denied any plan to acquire the New Jersey-based home textiles and houseware retailer.

Linens ’n Things, which operates over 570 stores in the US and in six provinces in Canada, had filed for bankruptcy late last month and was planning to close down 120 stores.The company had posted losses of $242 million in 2007 on sales of $2.79 billion. This prompted speculation that it was up for grabs.On the other hand, both Welspun and GHCL have a history of foreign acquisitions.