Acquisition of Sofology

RNS Number : 8986W

DFS Furniture plc

20 November 2017

 

20 November 2017

THIS STATEMENT CONTAINS INSIDE INFORMATION

DFS Furniture plc ("DFS" or the "Group")

Acquisition of Sofology

Further to our announcement on 3 August 2017 of the acquisition of Sofology Limited ("Sofology") (the "Acquisition"), DFS welcomes the announcement from the Competition & Markets Authority ("CMA") to allow the Group's acquisition of Sofology to proceed. There were no conditions attached to the CMA decision.  The Financial Conduct Authority has also confirmed its clearance of the Acquisition.

The Acquisition will complete at the close of business on 30 November 2017.

DFS CEO, Ian Filby commented:

"I'm delighted that we are able to complete this deal, which is a big step for DFS towards achieving one of our strategic growth aims of broadening our product and brand appeal. Sofology is a fantastic business that takes great pride in the levels of service and innovation it provides to customers and is a great addition to our family.

This is an important and historic moment for both businesses, our investment demonstrates the confidence we have in Sofology and the wider Group. I look forward to working with Jason Tyldesley and his team to continue this success." 

DFS (enquiries via FTI)	FTI Consulting
Ian Filby (CEO)	Jonathon Brill
Nicola Bancroft (CFO)	Georgina Goodhew
Mike Schmidt (Director of Corporate Finance)	Eleanor Purdon
	[phone]
	[e-mail]

Our combined business in numbers (as at 20 November 2017):

DFS - 109 stores & 5 factories in the UK, 4 stores in Republic of Ireland, 6 stores in Netherlands and 2 stores in Spain

Sofology - 40 stores

Dwell - 33 stores (30 co-located with DFS stores)

Sofa Workshop - 24 stores (9 co-located with DFS stores)

Annual Revenues:
(Latest publically published figures)

DFS, Dwell & Sofa Workshop combined revenues - £762.7m
(Financial year ending 29 July 2017)

Sofology revenues - £143m
(Financial year ending 31 December 2016)

Background - DFS

DFS is the market leading retailer of living room furniture in the United Kingdom.  We design, manufacture, sell and deliver to our customers an extensive range of furniture products.  The business operates a retail network of living room furniture stores in the United Kingdom and Europe, together with an online channel.  These have been established and developed gradually over 48 years of operating history.  We attract customers to our stores and website through our substantial and continued investment in nationwide marketing activities and our reputation for high quality products and service, breadth of product ranges and price points and favourable consumer financing options. 

Background - Sofology

Sofology is a UK based living room furniture retailer with a focus on upholstered furniture, now operating from 40 stores in the UK. The business was founded in 1974 by Brian & Margaret Tyldesley, who set-up Clayton Sales Rooms, which became CSL and finally Sofology in 2016. The business has developed a strong brand presence and prides itself on operating a relaxed and approachable style of service in store, which customers really appreciate. CEO Jason Tyldesley has led the business since 1996.

 

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