HobbyCraft has been sold in a management buyout backed by private equity firm Bridgepoint Capital, as predicted by Retail Week last week.
Although the details of the sale have not been revealed, it is understood Bridgepoint paid more than £100m for the arts and crafts retailer, which was originally valued at around £70m.
Chief executive Chris Crombie, who will stay on at the business, said: “We have always been very ambitious for HobbyCraft and have developed the business to become the leading specialist in its field, but there is significant growth capacity and roll-out potential yet to come which we look forward to achieving in the next five years and beyond.”
Bridgepoint’s Jason McGibbon said: “HobbyCraft is a quality business with great potential. We have tracked its progress for some time and believe that there is now significant scope for the business not only to grow through further rollout in the UK and development of its store format but also to create a significant multi-channel online presence.”
Retail Week revealed last week that Bridgepoint was the “preferred” bidder.
HobbyCraft owners the Haskins family hired Grant Thornton earlier in the year to seek a buyer for the 47-store retailer, which has thrived in the recession.
Private equity firms including Exponent and TA Associates were believed to have been among the other interested parties eyeing up the business.