Dutch Halfords Sold to Management
VEENENDAAL, The Netherlands – Finally, after two years, Macintosh Retail Group has sold its struggling Halfords retail chain for bicycles as well as bike and automotive P&A. However, Macintosh will remain financially involved in the retailer as it offers the buyer – Halfords MD Peter-Jan Stormmesand – a 30% capital base.
The take-over of all Halfords shares took place on June 30. New owner Stormmesand who started at the retail chain in March 2012 after a career in the automotive sector, developed a restructuring plan for Halfords which was launched in the second half of 2012. The restructuring involves the restyling of the shops as well as repositioning Halfords more towards bikes. The bicycle range is expanded and new brands are added like Peugeot for city and e-bikes and Capriolo for MTB’s and road race.
The retail chain will also continue to sell Union branded city bikes despite the fact that the ownership of this brand changed recently to Pon Holdings; a company that is more used to operate in the dealer channel. Other brands sold through the Halfords shops are Limit, Cumberland, Gitane and Dahon.
Halfords’ re-positioning scheme includes a webshop which is to expand into a so-called online mobility platform. This platform is to offer all kinds of mobility products as well as mobility services.
A Macintosh press release on the Halfords sales states further that the retailer’s position will be enhanced by strengthening its unique store format, but also by a more commercially oriented organization, streamlining of the store network and cost reductions.
Halfords NL, which has no ties at all with Halfords UK, operates 136 stores in the Netherlands and two in Belgium. The company has a total staff of 696 employees.
Macintosh’ financial involvement
Macintosh Retail Group further notes that the figures from Halfords in its income statement are to be reported under “discontinued operations” and that the retailer’s operating results for the first half of 2013 will be borne by Macintosh Retail Group. The transaction itself has a neutral effect, both in cash and in terms of the net result. Further details will be announced at the publication of the Macintosh interim results on 25 July. Macintosh will discontinue is financial involvement in Halfords during the next years.
Halfords market share
In 2011 when the sale was announced by ‘mother’ Macintosh Retail Group, it was said that Halfords’ 2010 revenues totaled € 105 million and sold about 120,000 bikes in The Netherlands offering the retailer a market share of about 10 percent. At that time financial analysts said that a Halfords’ should bring Macintosh between 25 en 30 million euro.
Large-scale non-food retailer
Macintosh Retail Group is a large-scale non-food retailer specializing in the off- and online distribution of consumer products in the fashion and living sector. The Maastricht-based group operates more than 1,000 stores in the Benelux and U.K. under various banners including Brantano and Scapino. The holding already divested other non-core assets such as its telecommunication operations.