Scottish retail entrepreneur Tom Hunter on Friday raised his stake in leading department store group Allders to nearly five per cent.

Hunter's move comes just a couple of weeks after Allders agreed to a £132 million takeover offer from major shareholder Minerva and around a month after his £197m bid for rival group House of Fraser was rejected.

Hunter, who made £260m when he sold Sports Division to JJB Sports in 1998, is remaining tight-lipped on whether he will bid for Allders although some press reports speculate he may try to merge the two retailers if a fresh bid for House of Fraser is accepted.