Bathstore deal provides exit for Endless

BATHSTORE, the British high street bathroom chain, has been sold as part of a management buy-out.

The transaction provides an exit for Leeds-based turnaround investor Endless, which acquired the £115m Watford-headquartered business in 2012.  Since that time, the business has grown its sales by 30% and boosted EBITDA by £5m. The terms of the MBO are undisclosed but this deal delivers a fivefold return for Endless.

Bathstore has 172 stores across the UK and according to The Telegraph, American billionaire Warren Stephens, a private equity and banking tycoon from Arkansas, has teamed up with Bathstore’s senior bosses to complete the deal.

James Woolley, portfolio director at Endless, said: “Bathstore is undoubtedly the UK’s leading expert bathroom retailer.  Over the last two years we have supported the management team in delivering their vision of providing its customers with a full service solution, offering lower price point entry, price transparency, and enhancing its product range.  The excellent exit we have achieved is down to the hard work and dedication of the management team at Bathstore and we wish them every success in the future.”

Bathstore chief executive, Gary Favell, the former chief executive of furniture retailer MFI, said: “Endless’ support has been invaluable in helping us deliver the improvement in business performance.  With their support we have re-established bathstore as the market leading brand in the sector.  With our new partner we will continue bathstore’s growth into the future.”

Endless was advised by Rothschild and Walker Morris.