Conviviality, the drinks and convenience retail specialist, has bought 109 c-stores out of the ashes of Palmer & Harvey safeguarding 1,312 jobs.
Conviviality’s Bargain Booze chain has taken control of the Central Convenience shops, and franchising rights over another 18 branches, for £25m, through a pre-packaged administration process.
The retailer said that the acquisition would strengthen its convenience retail presence, especially in the south and southwest of England, and generate economies of scale though wholesaling to the shops.
Conviviality chief executive Diana Hunter said: “We are pleased to have finalised terms for a potential acquisition of Central Convenience as it provides a clear opportunity to accelerate the growth and reach of the existing Conviviality Retail business, notably broadening our geographic footprint in the south and south west of England.
“The acquisition, if effected, will support our strategic goal to be the drinks and impulse sector’s leading independent distributor and we believe that potential exists for a range of synergies and increased returns for Conviviality’s shareholders.”
Central Convenience is being bought from WS Retail, a wholly-owned subsidiary of Palmer & Harvey McLane.
Wholesaler Palmer & Harvey plunged into administration at the end of last month after running out of cash. WS Retail was not put into administration at the time and continued to trade as normal.
On Friday joint administrators were appointed and the sale was completed.