MFI parts with retail arm

MFI ended its days as a furniture retailer today when its shareholders rubber-stamped the sale of the company's stores to private equity group Merchant Equity Partners for£1.

As expected, MFI shareholders voted overwhelmingly in favour of the move, with 99 per cent giving the plan their backing at an EGM this morning.

As revealed by Retail Week, Merchant Equity will now focus on trading the retail business out of the problems that saw it post an interim loss of£14 million in June.

The news comes after MFI revealed last week that it was to sell its Sofa Workshop business to specialist rival New Heights.