The private equity owner of Office is set to offload the footwear chain to South African retailer Truworths International in a deal valued at £256m.
Under Silverfleet’s ownership, footwear retailer Office expanded from 75 to 115 stores in the UK and Ireland and opened six stores in Germany. Concessions also increased to 47.
Silverfleet bought Office from owner West Coast Capital (WCC) five years ago in a deal understood to have been worth about £150m.
The deal is expected to be complete in early December and is subject to approval by the South African Reserve Bank.
As part of deal Office’s management will retain an 11.1% stake in business. However Turworths will have a right to buy the stake in three to five years.
Gareth Whiley, partner at Silverfleet Capital, said: “Office has been one of the great success stories in shoe retailing and has experienced tremendous growth in a competitive space. It is a fantastic business with an excellent management team whom we have worked with very closely over the past five years.
“We are delighted with our successful investment in the company, achieving a 3.4 times return, and wish the team every success in the future.”
Office chief executive Brian McCluskey said: “Together with Silverfleet, we have grown the business into the success it is today. We are excited to have found a long-term strategic retail partner in Truworths International. We look to further invest in the business and continue our success.”