UPDATE: Foreign funds eye up The Selfridges Group in possible €4.7bn deal

Aug 1, 2021 | News

Private equity funds from the US and the Middle East are circling the owner of Brown Thomas and Arnotts in a possible £4bn deal.

The Weston family has put the Selfridges Group, which owns the two iconic Irish department stores as well as stores in Britain, Canada and the Netherlands, up for sale. Credit Suisse has been appointed to manage the process.

Selfridges, which has 25 stores worldwide including its flagship store in London’s Oxford Street, also incorporates the Brown Thomas and Arnotts brands in Ireland.

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The potential £4bn price tag is said to reflect the value of its property portfolio rather than the strength of current profitability.The potential £4bn price tag is said to reflect the value of its property portfolio rather than the strength of current profitability.

The 113-year-old company had bucked the pre-COVID-19 pandemic trend of trade trouble for department stores following a major investment in its offering but, like rivals, was forced to bring down the shutters during lockdowns.

Selfridges cut 14% of its workforce – 450 jobs – a year ago as it navigated the disruption and a lack of tourists since reopening has hampered the turnaround in its fortunes.

The Weston family – also a majority shareholder in Primark’s parent firm Associated British Foods – has owned Selfridges since 2003.

Source: Business Post

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