...STEAD end Simpson, one of the country's oldest shoe shop chains, was s...
FONTE: business.scotsman.com
STEAD end Simpson, one of the country's oldest shoe shop chains, was sold in a management buy-out yesterday for £50 million.
The deal for the Leicester-based firm that was founded in 1834 and now has more than 400 outlets, ended a nine-month sale process after it began a strategic review in March. The buy-out, led by chief executive David Lockyer and finance director Peter Foot, marks the end of the involvement of investor Development Securities, which bought into the business in the 1980s.
As well as trading under the Stead & Simpson brand, the company operates Shoe Express, Peter Briggs and Lilley & Skinner. Its stores stock their own label footwear, along with brands such as Hush Puppies, Dr Martens, Clarks, Ecco and Wrangler footwear.
Bank of Scotland will have a stake in the company after backing the management team. It is thought John Shannon is retiring as chairman and cashing in a holding worth at least £10m.
Lockyer and Foot are said to have reinvested a significant percentage of the sale proceeds back into the company.
Stock-market-listed Development Securities told the stock market yesterday that it had sold its stake in Stead & Simpson for £13m and also received full repayment of a £2m loan.
Phil Burns, partner at Clearwater Corporate Finance, said: "Having seen management turn Stead and Simpson around since the late 1990s, we are delighted to have helped them achieve what we hope will prove to be a very successful management buy-out."
This article: http://business.scotsman.com/retail.cfm?id=2455092005
