Grant Thornton advise shareholders of HobbyCraft Group on sale

Wednesday, May 12, 2010 | Posted by: Grant Thornton
Categories: Financing , Retail sector | Tags: business, finance, due diligence, corporate finance, Simon Davies, hobbies, disposal, sale, lead advisory, deal, entrepreneurship, Warren Haskins, HobbyCraft, art and crafts, Bridgepoint Capital

HobbyCraft, the UK’s leading out-of-town art and craft retailer, has been sold to the management team in a deal backed by Bridgepoint Capital.  Grant Thornton advised the shareholders of HobbyCraft on the sale which was in excess of £100 million.  The sale delivered excellent value to the shareholders and offered a chance to reinvest in the company going forward.

HobbyCraft was established in 1995 after exiting founder and Chairman, Warren Haskins observed the well established hobbies and crafts market in the US and recognised the potential for launching an art and craft superstore in the UK.

15 years on the company has grown to operating 47 out-of-town stores throughout the UK;  each store carries over 35,000 products and caters for more than 250 different art and craft activities. In the year to 21 February 2010, annual turnover was £84 million with profit after tax of £7.3 million. 

Grant Thornton worked closely with the company and the shareholders to ensure a competitive sale process would be run to a tight timescale and would deliver the maximum value.  With vendor due diligence completed, the sale process began in February 2010 and was concluded on 28 April, just 7 days after exclusivity was granted to Bridgepoint Capital.

Simon Davies, Corporate Finance partner at Grant Thornton said “HobbyCraft is a unique business which has gone from strength to strength and has defined the market for arts and crafts in the UK.  The success and size of the deal with Bridgepoint Capital is testament to the entrepreneurship and drive of Warren Haskins and the management team and we have thoroughly enjoyed working with them throughout the process.” 

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