Travis Perkins sells Tile Giant to investment group

Travis Perkins has sold its tile retail chain, Tile Giant, to Leeds-based investment group Coverings after a challenging 12 months for the company that saw profits fall and 12 stores close.

The acquisition is led by entrepreneurs Andrew Thirkill and Adrian Hinchliffe who hope to drive the Tile Giant brand forward, securing the future success of the retailer.

Travis Perkins saw its profits plunge by 81% due to the pandemic. In its retail category, which includes Wickes and Tile Giant, both revenue and profit were down by 8.5% to £636 million and £32m respectively.

Tile Giant has also seen 12 stores close in the past year – 11 of which closed in the past four months since June. There are currently 82 stores in the Tile Giant retail network, by comparison with 94 in December 2019.

Tile Giant will operate as an individual company, with its own strategy, under the guidance of the brand’s existing senior leadership team led by managing director James Heese.

Andrew Thirkill of Coverings said: “These have been turbulent times for the tile industry, but we firmly believe in what Tile Giant has created with Travis Perkins, with its core proposition of delivering high quality, commercially competitive tiles and accessories to the UK retail market.

“This investment safeguards the future for Tile Giant, and supports the industry to grow as a whole. Home improvement retailers have seen a strong return to business post-lockdown, with sales buoyant as homeowners look to reinvest within their properties.”

James Heese, managing director of Tile Giant, said: “I would like to thank Travis Perkins plc for their guidance and unwavering support throughout the successful transformation of the Tile Giant business. Coverings recognise that they have acquired a fantastic business with significant growth potential. This is a new and exciting chapter for Tile Giant and we’re delighted to be working with Coverings Ltd. to accelerate our growth over the coming years.”

The sale of Tile Giant by Travis Perkins is part of its strategic drive to simplify its business and focus more on the trade customers. In August 2019, Travis Perkins confirmed plans for a Wickes demerger which was eventually put on hold in March this year due to ‘extreme volatility’ in the market.

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