Habitat sold to Hilco
Habitat has been sold to Hilco in a deal that will see chief executive Mark Saunders remain in his position.
Habitat’s former owners, ICAF, which also owns Ikea, sold the loss-making furniture retailer at the weekend to Retail Investments, a specialist retail investment group led by Hilco. The deal involved ICAF writing off debts and providing working capital of €50m (£45m).
Hilco said Saunders will “lead the implementation of the management team’s plan which will secure the future of the Habitat brand”.
Saunders said: “We look forward to working with the team at Retail Investments in developing and growing the business. We have been given significant committed funds and will now be able to rapidly progress the current business plan.”
ICAF director Birger Lund said: “We are pleased with this outcome and that the Habitat brand will continue and believe that the management team is well placed to take Habitat forward. We wish Mark and the Retail Investments team every success.”
Sources close to Habitat warned last week that it would be “naïve to assume it will be business as usual” if the business was sold. It is not known if Hilco plans to close any stores or exit any of Habitat’s territories.
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Readers' comments (5)
Anonymous | 14-Dec-2009 6:22 pm
I feel for the staff of Habitat. All the best to them, fingers crossed their experience with Hilco has a happier ending than those of us at Borders. Six months ago we were hopeful for the future too!
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Gabriella Coscia | 14-Dec-2009 8:46 pm
Good luck to the habitat staff another ex uk retailer coming soon - shame
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Anonymous | 15-Dec-2009 12:36 pm
Maybe I am just being a cynical ex employee too but I do wonder how nicely Habitat is also going to fit in with Hilco's other sister companies. What nice Allied Carpet rugs and services they could offer and Denby crockery too. Unfortunately there is no room for Borders books as that format was too big but maybe all that stock could be attractively displayed in a Habitat home/office? Good luck to all staff.
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Anonymous | 21-Dec-2009 11:28 am
Good luck to the staff.
Hope their experience is better than what HIlco did with Ponden Mill / Coloroll
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Anonymous | 26-Dec-2009 9:28 pm
Cheers guys.
I work in Habitat and we're all very nervous at what is going to happen... after all, Hilco are known as asset burners!!
The company has actually changed around for the good recently with better stock ranges and prices. I hope Hilco give us a decent chance to get the stores making profit again,
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