Member Article

Off-license chain acquires Yorkshire-based Rhythm & Booze stores for £1.7 million

Crewe-based off-license chain Conviviality Retail Plc has exchanged contracts to acquire 26 stores from Rhythm & Booze Stores, (R N B) Limited.

The stores are being bought for a total consideration of £1.7 million in cash of which £0.2 million is deferred consideration.

RNB is a Yorkshire and North East retailer of wine, beer, spirits and other alcoholic beverages, and is a subsidiary of Bibby Retail Services Limited.

Conviviality intends to retain all store staff and rebrand the stores under “an appropriate Conviviality fascia.”

The intention is to consider transferring stores to the Company’s franchise model.

For the year ended 31 December 2013, the 26 stores to be acquired generated revenues of £13.68 million and net profits of £0.05 million. Five of the stores are freehold properties, with a combined value of £0.54 million, and the remainder are leasehold.

Diana Hunter, CEO, Conviviality Retail Plc, commented: “This acquisition in entirely in line with our strategy for geographic expansion.

“The 26 stores provide opportunities for us to extend our reach into Yorkshire, offering growth opportunities for the Company and our franchisees. The 26 stores provide opportunities to expand our Bargain Booze, Select Convenience and Wine Rack fascias.”

This was posted in Bdaily's Members' News section by Clare Burnett .