- Hostels operator Safestay said it would undertake a review of strategy options including the sale of the company, after receiving a 'very early' stage potential takeover approach.

The company said it had made progress on its strategy to protect the business and secure capital to enable it to re-emerge strongly. The cost base was 'substantially' reduced and the company completed the sale of two assets to raise £16.8 million.

Following, a 'very early' stage and approach from a party interested in buying the company, Safestay said it had would undertake a review of the strategic options.

'These options include, but are not limited to, a sale of the Company which will be conducted under the framework of a "formal sale process" in accordance with the Takeover Code,' it added.

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