Germany's Federal Financial Supervisory Authority (BaFin) reportedly gave a deadline to investors interested in buying BHF-Bank (formerly Berliner Handels- and Frankfurter Bank). Sources familiar with the matter told Reuters that BaFin gave the BHS buyout group headed by RHJ International (RHJI) until the end of this month to give the regulator the information it needs to approve the sale or not. BHF is being sold by its current owner Deutsche Bank.

A consortium led by financial services group RHJI initially agreed on the buyout with Deutsche Bank in March last year. The German regulator, however, did not approve the transaction. BaFin was concerned that RHJI might not be able to fund BHF on its own. To beef up its offer, RHJI brought China's Fosun Group, Stefan Quandt as well as funds controlled by Timothy Collins and Blackrock on board in September.

A spokesman from BaFin would not confirm the ultimatum. He did tell Reuters, "We do not have all of the required information. Therefore we cannot evaluate this case."