Patisserie Valerie owner ponders £150m Gail’s bid

Wed, 29 Nov 2017 | BUSINESS SALE

The owner of artisan bakery chain Patisserie Valerie is poised to make a £150 million bid for the company that owns another upmarket baked goods chain.

The Times reports that last month the board of Bread Holdings - which runs 38 Gail’s bakeries, most of which are located in London, as well as wholesaler Bread Factory – had called on financial services firm KPMG to advise on strategic next steps for the firm.

Luke Johnson, who owns 60 per cent of Bread Holdings and is a 39 per cent shareholder in Patisserie Valerie, confirmed that Patisserie Holdings was keen to use a “strong balance sheet” to make an acquisition, one of the reasons for its public float in 2014.

Any deal between the two would bring together two companies in which Johnson is chairman. As a result, should any negotiations arise between the firms it is understood that he would not be involved in order to avoid any conflicts of interest.

When asked whether Patisserie Holdings would bid for Bread Holdings, Johnson replied: “If it were to become available at an attractive price, we’d certainly be interested in looking at it.”

The Patisserie Valerie owner has enjoyed a prosperous time in the past year, with profits growing by 17.1 per cent generating cash reserves in excess of £21.5 million. The high street shops have contributing £84.4 million worth of sales in the year up to September 30, allowing the firm to open 20 new Patisserie Valerie stores while closing only five.

Patisserie Holdings also opened its first new store under the Philpotts banner, which serves sandwiches and salads, in Manchester’s Spinningfields shopping centre.

Speaking about his company’s recent successes, Johnson said it had avoided some of the pressures facing the rest of the casual dining sector because it offered an “affordable treat, is not London-centric, keeps tight control of costs and is disciplined on rents”.


Share this article



Latest Businesses for Sale

Accountancy Practice: 2 Partnered
Gwent, Wales, UK

This practice, which was established in 1955, is available for sale due to the impending retirement of the partners. Requirements: One of the partners will be available to assist in the transition period to ensure a smooth handover of clients. Offers...

Asking Price: Offers Invited
Turnover: £400,000

FREEHOLD


Accountancy: 4 Partner Practice
Cheshire, UK Wide

This practice, which was established in 2008, is available for sale due to the impending retirement of the partners. Offers invited.

Asking Price: Offers Invited
Turnover: £1,735,000

LEASEHOLD


Accountants: 2 Partner Firm
West Yorkshire, Yorkshire and the Humber, UK

This practice, which was established in 1985, is available for sale due to the impending retirement of the partners. Offers invited.

Asking Price: Offers Invited
Turnover: £360,000

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
17
 
May
 

Greater Manchester staffing firm acquires security services company | BUSINESS SALE

A security services business headquartered in Newton-le-Will...

 
16
 
May
 

Midlothian IT company enters administration with assets up for sale | ADMINISTRATION

An Edinburgh-based IT firm has collapsed into administration...

 
15
 
May
 

Logistics recruiters and distributors snaps up Birmingham-based counterpart | BUSINESS SALE

Challenge TRG Group, headquartered in Wigan, has successfull...

Free guide: 10 Biggest Buyer Mistakes

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

Email


Related News

 
17
 
May
 

Greater Manchester staffing firm acquires security services company | BUSINESS SALE

A security services business headquartered in Newton-le-Will...

 
16
 
May
 

Midlothian IT company enters administration with assets up for sale | ADMINISTRATION

An Edinburgh-based IT firm has collapsed into administration...

 
15
 
May
 

Logistics recruiters and distributors snaps up Birmingham-based counterpart | BUSINESS SALE

Challenge TRG Group, headquartered in Wigan, has successfull...

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