Home
Distressed Businesses
  • All Distressed Businessess
  • Administrations
  • Liquidations
  • Winding Up
  • Insolvency Advice  New
Buy a Business
  • All Businesses for Sale
  • Find a Business for Sale
  • Raising Business Finance
  • Buyer Acquisition Service   New
  • Escrow Service   New
Sell a Business
  • Sell Your Business
  • List your Business
  • Seller Accounts
  • Need Help Selling?
  • Help With Finance New
  • Corporate Services  New
  • Business Valuation
  • Business Wanted Adverts
Insights & News
  • View All News
  • View All Insights
  • Exclusive Insights New
  • Video Insights
Lens
  • Search all UK Companies  New
Log in
Join Now

Home / News / Homebase put up for sale by Australian owner

Homebase put up for sale by Australian owner

Wed, 04 Apr 2018 | BUSINESS SALE

High street DIY chain Homebase is up for sale, after its Australian owner has begun sounding out potential buyers just two years after its ill-fated acquisition of the firm.

Australian giant Wesfarmers bought Homebase in 2016 for £340 million, clearing out the retailer’s management team and overseeing a swathe of changes, but has since failed to turn the struggling chain around – much to the dismay of investors.

Poor performance saw Homebase announce it had lost £97 million in the second half of last year, prompting Wesfarmer’s to revalue its UK business at some £550 million cheaper.

It has been widely reported that Wesfarmers has been approaching potential buyers in the past few weeks, including private equity firms.

In February, investment house Lazard was appointed to conduct a strategic review of the Homebase business. Resulting plans would see up to 40 stores closed and around 2,000 jobs lost.

Rob Scott, the managing director of Wesfarmers, said at the time that he was “keeping all options open” for the Homebase business, including a potential sale.

The Australian firm, which has enjoyed success with its own DIY brand Bunnings, hoped to take on B&Q by bringing all of Homebase’s stores into line with its domestic brand. But by the end of Mach only 22 Homebase retail locations had been converted into Bunnings stores, with 227 unchanged and four closed for conversion.

Alongside trading losses, Homebase’s sales also kicked down 15.7 per cent to hit £517 million over the six months up to December 2017.

Wesfarmer’s directors said that “inconsistent store standards” and “poor execution” of its strategy were to blame for the poor performance. They also said that new product lines had not made up for lost sales from discontinued ranges.


Share this article



Latest Businesses for Sale

Bike & Accessories Supplier
South East, UK

Supplies e-bikes and related products, including mechanical bikes, powered ride-along toys and accessories, to blue-chip organisations across the UK.

Asking Price: Offers Invited
Turnover: £3,900,000

LEASEHOLD


Online Retail Business with Warehouse
Ashford Hill, Thatcham, Hampshire, UK Wide

A small team of three of us focus on sales, purchasing, and administrative tasks. The business could easily be integrated within an existing team to support higher profits.

Asking Price: £800,000
Turnover: £2,000,000

RELOCATABLE


Boutique Independent Guitar Shop
London, UK

Specialises in sales of rare, vintage and celebrity-owned instruments, including acoustic, electric and bass guitars, as well as amplifiers, effects pedals and accessories.

Asking Price: Offers Invited
Turnover: £4,300,000

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
19
 
Apr
 

Peer-to-peer lending business enters administration | DIVISION SALE

Business Loan Network, a peer-to-peer lending business, has ...

 
19
 
Apr
 

Historic Burtonwood brewery put up for sale | COMMERCIAL PROPERTY

Molson Coors' Burtonwood Brewery has been put up for sa...

 
16
 
Apr
 

Owner of Cabot Circus shopping centre in sale talks | BUSINESS SALE

The owner of Cabot Circus shopping centre in Bristol has con...

Free guide: 10 Biggest Buyer Mistakes

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

Email


Related News

 
01
 
Dec
 

Debenhams set to close after JD Sports withdraws interest in wake of Arcadia collapse | BUSINESS NEWS

JD Sports has confirmed that it has pulled out of talks to a...

 
25
 
Nov
 

JD Sports emerges as final remaining bidder for Debenhams | BUSINESS SALE

Sportswear chain JD Sports is reported to be in exclusive ta...

 
02
 
Sep
 

Deadline passes for Debenhams bids | BUSINESS SALE

The deadline for bidders to submit their offers for departme...

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

Become a Member

News Categories

  • - Business Sale
  • - Division Sale
  • - Administration
  • - MBO/MBI
  • - Merger
  • - Commercial Property

View all news


About Us

Business Sale Report is the UK's leading independent business for sale & distressed business listing service. Established in 1995, the report offers an up-to-the-minute, comprehensive overview of businesses for sale, latest distressed business listings and daily acquisition news.

Our Services

Businesses for Sale
Distressed Companies
List a Business
Help with Finance
Buyer Acquisition Service
Small Businesses for Sale

Company

About Us
Insights
News
FAQs
Reviews
Terms & Conditions
Privacy Policy

Get In Touch

020 8875 0200
[email protected]
167 Oakhill Road, London, SW15 2QW
Working hours: Mon-Fri, 9am - 5:30pm


Sign up to our free newsletter



© 1995-2021. Business Sale Report Ltd. All rights reserved. www.business-sale.com.