Sir Tom Hunter, the Scottish entrepreneur, raised expectations of a bidding war for Dobbies Garden Centres last night, after doubling his stake in the horticultural specialist to 20.6 per cent.

Last week Dobbies’s board recommended a £15-per-share offer for the company by Tesco, the supermarket chain. Yesterday Sir Tom’s company West Coast Capital snapped up an additional 10 per cent of Dobbies at £17.50 a share, taking him closer to a 25 per cent blocking stake.

The move could buy Sir Tom, who already owns Wye-vale Garden Centres and Blooms of Bressingham, time to put together funding for a rival offer. It could also flush out other interest in the chain, which had previously been in talks with Apax Partners, the private equity firm.

West Coast said yesterday that it was “considering all its options in relation to its shareholding, one of which is a possible offer for the company.”

Tesco, which approached Dobbies to discuss a potential acquisition early last year, announced its agreement with Dobbies’s board after snapping up 22.6 per cent of shares and receiving irrevocable commitments from shareholders over a further 2.7 per cent.

Analysts said the large stake acquired by Tesco meant that it needed backing from less than 75 per cent of remaining shares to be successful in its bid.

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