TOKYO, Oct 20 (Reuters) - Japanese furniture retailer Nitori Holdings Co 9843.T is considering making a bid for Shimachu Co 8184.T that would challenge an offer for the home improvement retailer made by DCM Holdings 3050.T, the Nikkei business daily reported.
DCM said this month it was seeking to buy smaller rival Shimachu at 4,200 yen ($39.74) a share for a total 164 billion yen in an offer supported by Shimachu.
($1 = 105.6800 yen)
(Reporting by Chang-Ran Kim; Editing by Edmund Blair)
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