The daily Delo reported on Saturday that the head of the Croatian food group Agrokor Ivica Todorić and representatives of six creditor banks and sellers of Mercator met in Vienna for negotiations after recent reports that Agrokor was lowering its bid.

There is no official information about the talks, but according to Delo especially the creditor banks took a tough stance, highlighting Mercator's difficult situation and the need for a serious and not merely symbolical capital injection.

There was allegedly also readiness for a compromise solution regarding the share price, while basic explanations were provided regarding the financing of the deal.

Delo spoke of a "constructive spirit" in the talks, whereas Radio Slovenija reported about increasing speculation that Agrokor does not have the money needed to take over Slovenia's biggest retailer.

The public broadcaster said that Agrokor representatives presented two possible bids. They allegedly also presented in principle both financing versions - EUR 120 per share or EUR 80 per share plus a recapitalisation.

The negotiations are expected to continue next week, probably again in Vienna.

Agrokor committed in the agreement on cooperation signed in June to paying EUR 120 per share, which means it would pay slightly over EUR 250m for a 53% stake in Mercator.

It then lowered the bid to EUR 80 but also offered to provide a capital increase, and then increased it again to EUR 105, however without recapitalisation, which means Mercator would cost it EUR 220m. Now there is unofficially again talk of EUR 120 per share.