Wal-mart has said it is still interested in the Japanese retailer Daiei after recent press reports suggested that the US retailer may pull out of the race for the ailing grocery retailer.

In addition to Wal-Mart, short-list bidders include Japanese retaiers Ito-Yokado, AEON, and a consortium composed of US investment funds Kohlberg Kravis Roberts and Ripplewood Holdings plus the Japanese retailer Marubeni.