Sale prospect of Garden Centre Group blooming
More favourable weather and a stronger focus on plants has helped the Garden Centre Group return to sales growth this year after its profits tumbled in 2010.
The 130-store retailer, which is up for sale for as much as £300m, has grown total sales by 7 per cent so far this year, lifted by a storming performance on horticultural products during April's heatwave.
The Garden Centre Group, formerly called Wyevale, has also been boosted by its acquisition of Country Homes & Gardens in August. Before this, Lloyds Banking Group put the UK's biggest gardening specialist up for sale in July by hiring advisers at Rothschild.
Private equity firms and Tesco – which owns the Dobbies garden centre chain – as well as rival grocer Morrisons have requested to see sale documents for the Garden Centre Group. The chain's property has been valued at about £300m.
But the Garden Centre Group's pre-tax profits fell to just £860,000 in the year to 26 December 2010, down from £13.21m the previous year. The unfavourable weather conditions, notably the snow in December, contributed to flat like-for-like sales.
Subscribe to Independent Premium to bookmark this article
Want to bookmark your favourite articles and stories to read or reference later? Start your Independent Premium subscription today.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies