Thu, 03 Aug 2017 | BUSINESS SALE
The UK furniture retailer DFS has made a deal to acquire Sofology for an initial enterprise value of £25m on a debt-free, cash-free basis that will be payable upon completion.
Sofology is a private equity-backed specialist sofa retailer with a UK network of 37 stores. The company reported revenue of £143m last year, as well as a loss of £2.7m with statutory loss before tax of £8.9m over the same period. This was in part caused by the exchange rates on costs and the disruption following a Sofology rebrand.
Previously, the Business Growth Fund previously invested £10m into Sofology in March 2016 for a minority interest to support the company's UK expansion plans.
Ian Filby, chief executive of the Doncaster-headquartered DFS Furniture, said: "While the UK furniture retail market continues to be very challenging, we remain focused on making strategic progress to strengthen our position in living room furniture.
"This acquisition represents a clear opportunity for DFS to accelerate our proven strategy of broadening our appeal, generating substantial long-term returns for shareholders underpinned by well-understood synergies.
He went on to praise Sofology's unique market position and the excellent management by its team, who he says he looks forward to working with in the future.
Find a retail business for sale
Subscribe to the Business Sale Report
This is a rare opportunity to acquire an established online kitchen appliance retailer with over 15 years of trading history, offering an extensive range of brands such as Hotpoint, Samsung, and Whirlpool to customers across the UK.
Opportunity to acquire a high-end ladies fashion retailer with multiple locations in London, featuring established sales channels across retail, online, and click and collect services.
LEASEHOLD
This is an exclusive chance to acquire a legal claims business with substantial work in progress valued at around £5 million.
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.