In a major move to accelerate its growth, Victorian Plumbing, the UK’s leading bathroom retailer, has acquired Victoria Plum, an online-only bathroom retailer, for £22.5 million. The acquisition, announced on May 17, 2024, marks a significant strategic milestone for the company.
Victoria Plum, headquartered in Doncaster, UK, is a well-established brand with a solid customer base, suppliers, and product ranges. The acquisition price represents approximately 0.5 times Victoria Plum’s estimated annual revenue, reflecting the significant strategic value of the brand and its associated intellectual property.
The deal, funded from Victorian Plumbing’s existing cash reserves, is expected to be broadly break-even in the second half of 2024. Mark Radcliffe, CEO of Victorian Plumbing, expressed delight at the acquisition, stating, “We are pleased to welcome the existing Victoria Plum team to our group and look forward to continuing to provide customers with a fantastic range of bathroom products and accessories.”
The company plans to continue trading Victoria Plum as normal initially, pending the finalisation of its integration plan. Further details will be provided on May 28, 2024, alongside the company’s interim results for the six-month period ended March 31, 2024.
The acquisition, along with the company’s investment in a new distribution center, is expected to provide a unique opportunity to deliver increased shareholder returns. Radcliffe emphasised, “This acquisition represents another exciting strategic milestone for the company… and provides a unique opportunity to deliver increased shareholder return.”
The move is seen as a strategic step forward for Victorian Plumbing, solidifying its position as the UK’s leading bathroom retailer.
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