Wed, 17 Nov 2010 | DIVISION SALE
Focus faces a partial sale as its US private equity owner looks to raise the funds necessary to roll out a store upgrade programme.
Cerberus has brought in investment banking firm Lazard to assess the options for the DIY retailer, one option being the sale of some of the stores.
Focus is the fourth largest DIY retail chain in the UK with 180 stores. Cerberus purchased the retailer for £1 in 2007 from previous owners Apax Partners and Duke Street Capital. As part of the deal, secured in June 2007, Cerberus also acquired Focus’ debt amounting to £225 million.
In 2009, Focus just escaped failure by implementing a company voluntary arrangement. The move enabled it to cut lease ties on several of its empty stores, and negotiate a two-year extension on its £50 million overdraft. It reported losses of £11.7 million for the year to February 2010.
The management team at Focus say they require £40 million to turn the business around. Cerberus aims to sell some of the stores by the end of the month.
The potential interest in Focus’s stores has been called into question, however, by various sources. Its main rivals B&Q, Wickes and Homebase are allegedly keeping an eye on the sale developments, but any further involvement is as yet uncertain.
As only 15 of Focus’ stores have planning permission for food, large supermarket groups including Sainsbury’s, Asda and Tescos are thought unlikely to be interested.
The wholesale business has an established trading history and has built up a strong reputation and a loyal customer base. Business is drawn from a wide demographic of clients with a good spread across different business sectors.
This is a unique opportunity to acquire a company specialising in luxury performance cycle clothing, utilising the finest specialist fabrics and cutting-edge construction techniques.
A leading internet-based provider of customisable and curated beauty box services. Over the last decade, the business has evolved from a premier subscription service to a leading internet-based provider of highly attractive and rapidly expanding beau...
WEB-BASED
11
|
Jul
|
Holiday letting agency acquires Cornish self-catering holiday specialist | BUSINESS SALE
Travel Chapter, a leading UK holiday letting agency, has ann...
11
|
Jul
|
Power services firm set to be acquired by US energy resilience group | BUSINESS SALE
The Wilmott Group Limited, a power services group with opera...
11
|
Jul
|
Dunfermline vehicle manufacturing services firm enters administration | ADMINISTRATION
A specialist manufacturing business based in Dunfermline has...
11
|
Jul
|
CubeMatch acquires professional services firm DVCP | BUSINESS SALE
Global change and transformation consultancy CubeMatch has c...
11
|
Jul
|
Dunfermline vehicle manufacturing services firm enters administration | ADMINISTRATION
A specialist manufacturing business based in Dunfermline has...
11
|
Jul
|
Power services firm set to be acquired by US energy resilience group | BUSINESS SALE
The Wilmott Group Limited, a power services group with opera...
Business Sale Report is the complete resource for finding genuine acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources
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.