Private equity group TPG has sold its 9 per cent stake in Debenhams for £100m, making it the second of the department storeâ??s three former owners to exit the group.

TPG, CVC and Merrill Lynch Private Equity bought Debenhams for £1.7bn in 2003, putting £600m of equity into the deal with the rest financed by debt.

The retailerâ??s shares were floated in 2006 at 195p and dropped steadily to below 25p last year, before regaining some ground this year.

Shares in Debenhams rose 3 per cent to 84.35p, after an institutional buyer bought 120m shares at 81.6p a share.