Member Article

Warrington’s Sofaworks sees double investment

Warrington retailer Sofaworks has been advised by law firm Pinsent Masons on a strategic partnership with two investors.

Bill Holroyd and Greater Manchester Combined Authority (GMCA) have both invested in the company which has a turnover in excess of £100m.

The deal will see the majority shareholding continue to remain with the Tyldesley family, and the investment will be used to fund the company’s growth plans.

The hope is that the company’s growth plans will lead to further job creation both locally and nationally.

Catherine Hemsworth led the Pinsent Masons team advising Sofaworks assisted by corporate solicitor Catherine Umpleby, with specialist banking advice from partner Philip Scott and banking solicitor Matthew Dyson.

KPMG’s Corporate Finance practice also advised Sofaworks.

Sofaworks is a family-owned furniture retailer founded in 1974 by Brian and Margaret Tyldesley.

It employs more than 800 staff across 31 stores, 6 warehouses and its head office, based in the North West. This year it will open stores in Preston, Dundee, Cannock and Enfield.

Bill Holroyd whose current investments include AO World, the online appliance retailer, Warrington Sports Holdings Ltd, and TD4 Limited was formerly the Chief Executive Officer of Holroyd Meek and was also an investor in and Chairman of Millie’s Cookies, which was sold to Compass Group plc in 2003, and Chairman of and investor in Positive Solutions.

GMCA will invest into the business, as part of a programme supported by the Government’s Regional Growth Fund (RGF), designed to help companies create jobs.

Bill Holroyd says; “I am very excited about the growth opportunities at Sofaworks and am looking forward to working with Jason and the team to further build on this British family success story.”

The leader of Wigan Council, Lord Smith, said: “The Greater Manchester Combined Authority is pleased to support Sofaworks’ ambitious growth plans.

“This partnership will bring greater economic prosperity to Greater Manchester, allowing the local business to thrive nationally and internationally – aiding our plans to strengthen Greater Manchester’s economic ties.”

Chair of GM LEP, Mike Blackburn,said: “The regional Growth Fund is about identifying and investing in opportunities that will create long term economic growth and jobs for the people of Greater Manchester.

“To that end, we’re confident that this innovative funding approach with Bill Holroyd will help Sofaworks develop its home-grown success and generate a rewarding return on investment that will benefit our local economy.”

This was posted in Bdaily's Members' News section by Sophia Taha .