Brighthouse up for sale amid refinancing race

Fri, 29 Sep 2017 | BUSINESS SALE

The rent-to-own retailer Brighthouse, who has been struggling amid mounting financial pressures, has been put up for sale.

The sales process is likely to begin in mid-October as it makes an effort to refinance £220m of bonds that are due next year.

Brighthouse, owned by private equity company Vision Capital, allows shoppers to pay for goods in weekly instalments, but recent months have seen their earnings crash by 79 per cent to £11.7m after changes to sign-in procedures led to a slump in the number of new customers.

The changes involved including more detailed assessments of customer's incomes and spending in response to a probe into the rent-to-own sector using high-pressure sales tactics and overcharging. For example, an investigation last year found that a £350 washing machine was more than three times as expensive if bought through Brighthouse's weekly instalments.

Three years ago, Vision Capital was preparing the chain for a potential stock market float, but were stopped by concerns about the FCA process resulting in Brighthouse coming under pressure from US hedge funds buying its debt and attempting to wrest control of the business.

Brighthouse's listed bonds are currently trading at 77p on the pound.

Find a business for sale
Subscribe to Business Sale Report


Share this article



Latest Businesses for Sale

Natural Stone Supply Company: Sourcing/Processing/Distribution
Aberdeenshire, Scotland, UK

This company specialises in supplying the highest quality natural stone products, offering a complete turnkey solution to its customers from sourcing, through to processing, design and final distribution and delivery. Offers invited.

Asking Price: £1,050,000
Turnover: £1,100,000

RELOCATABLE


Precision Engineering Business
North West, UK

Precision Engineering Business for sale operating with a modern, well equipped machine shop, offering Engineering Development Modelling (EDM), CNC turning & milling, grinding, boring and fitting. Offers invited.

Asking Price: Offers Invited
Turnover: £400,000

LEASEHOLD


Accountancy Business
UK Wide

High quality practice with strong middle management on the market for the first time. Established: 25 to 30 years. Strong middle-tier management to support acquirer throughout the transition period and on an ongoing basis. Locations: Cheshire, Mersey...

Asking Price: £1,300,000
Turnover: £1,300,000


View more businesses for sale

News Search

Latest News

 
20
 
Sep
 

Thomas Cook seeking 'last-ditch' fire sale | BUSINESS SALE

Thomas Cook Group is reportedly trying to piece together a l...

 
19
 
Sep
 

Smith & Williamson and Tilney to merge | MERGER

After revealing in August this year that talks were in place...

 
18
 
Sep
 

Infrastructure investment manager takes stake in LJLA | BUSINESS SALE

Infrastructure investment management group, Ancala Partners,...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide

Email


Related News

 
20
 
Sep
 

Thomas Cook seeking 'last-ditch' fire sale | BUSINESS SALE

Thomas Cook Group is reportedly trying to piece together a l...

 
19
 
Sep
 

Smith & Williamson and Tilney to merge | MERGER

After revealing in August this year that talks were in place...

 
18
 
Sep
 

Infrastructure investment manager takes stake in LJLA | BUSINESS SALE

Infrastructure investment management group, Ancala Partners,...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources