RCS - Dunelm Group plc - Acquisition of Home Focus

DunelmAnnouncement

20/11/2024 07:00

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RNS Number : 8710M  Dunelm Group plc  20 November 2024

 
 

 

20 November 2024

 

Dunelm Group plc

 

Acquisition of Home Focus

 

Dunelm Group plc ("Dunelm" or "the Group"), the UK's leading homewares
retailer, announces that it has acquired Homefocus Group Limited ("the
acquisition").

 

Homefocus Group Limited ("Home Focus") is a soft furnishings retailer which
trades under the 'Home Focus at Hickeys' brand, with 13 stores trading in
high-quality locations across the Republic of Ireland. The business also
operates online, providing home delivery and a 'Click & Reserve' option
for customers to collect products in-store. With a focus on fabrics, the brand
specialises in specific home categories including curtains and bedding. We
look forward to welcoming Home Focus' c.140 colleagues to the Dunelm family.

 

The acquisition is an attractive opportunity for Dunelm to connect with more
customers by entering a new geography, with a homewares market of more than
£1bn1. The acquisition immediately provides the Group with good coverage
across the Republic of Ireland, through Home Focus' portfolio of smaller
stores (<10,000 sq ft). Dunelm sees potential to offer a broader range of
products in Home Focus stores, in line with the Group's existing smaller
format stores in the UK, giving customers more choice and a more comprehensive
offer for the home.

 

Dunelm also sees opportunity to introduce a more comprehensive online
proposition and, over time, will assess new store opportunities across
Ireland.

 

The acquisition will not be material to Dunelm's financial performance and the
Group will utilise its existing operations, capabilities and supply partners
to strengthen the customer offer of Home Focus.

 

Nick Wilkinson, CEO of Dunelm, commented:

 

"In Home Focus we have found a high-quality and complementary business, with a
shared heritage in home textiles and strong values which stem from family
ownership. We've really enjoyed getting to know the team and look forward to
welcoming them to the Dunelm family as we work together to further develop and
invest in their specialist home proposition.

 

"We see a clear opportunity to introduce more choice and value into the offer
which Home Focus has built for its customers. With an established national
store footprint and expertise in mutual growth areas like Made to Measure,
we're confident that Home Focus will help us to continue unlocking our full
potential.

 

"We're proud to be embarking on this journey with Home Focus and investing in
the next stage of its story, where we look forward to providing further
opportunities for colleague development, creating additional jobs, and
supporting local communities."

 

Ian Donnelly, Managing Director of Home Focus, added:

 

"With around 80 years in business, we have been looking for a new custodian to
take Home Focus into its next chapter. Dunelm immediately struck us as having
a clear cultural fit, with a strong team guided by sound values and focused on
investing for long-term growth.

 

"We're confident that Dunelm's experience as a multi-channel retailer,
together with its ability to offer a wider assortment of products across
multiple home categories, will offer both our colleagues and customers an even
better proposition as we move forward."

 

(1)GlobalData homewares market for Ireland (June 2024)

For further information please contact:

 Dunelm Group plc                                   investorrelations@dunelm.com (mailto:investorrelations@dunelm.com)
 Nick Wilkinson, Chief Executive Officer

 Karen Witts, Chief Financial Officer
 MHP                                                07595 461 231
 Oliver Hughes / Rachel Farrington / Charles Hirst  dunelm@mhpgroup.com (mailto:dunelm@mhpgroup.com)

Notes to Editors

Dunelm

Dunelm is the UK's market leader in homewares with a purpose 'to help
create the joy of truly feeling at home, now and for generations to come'. Its
specialist customer proposition offers value, quality, choice and style across
an extensive range of c.85,000 products, spanning multiple homewares and
furniture categories and including services such as Made to Measure window
treatments.

 

The business was founded in 1979 by the Adderley family, beginning as a
curtains stall on Leicester market before expanding its store footprint. The
business has grown to 184 stores across the UK and has developed a successful
online offer through dunelm.com which includes home delivery and Click &
Collect options. 155 stores now include Pausa coffee shops, where customers
can enjoy a range of hot and cold food and drinks.

 

From its textiles heritage in areas such as bedding, curtains, cushions,
quilts and pillows, Dunelm has built a comprehensive offer as The Home of
Homes including furniture, kitchenware, dining, lighting, outdoor, decoration
and DIY. The business predominantly sells specialist own-brand products
sourced from long-term, committed suppliers.

 

Dunelm is headquartered in Leicester and employs c.11,500 colleagues. It has
been listed on the London Stock Exchange since October 2006 (DNLM.L) and
the business has returned c.£1.5bn in distributions to shareholders since
IPO.

 

Home Focus at Hickeys

 

The Home Focus at Hickeys brand offers a wide range of fabrics, ready-made
curtains, curtain poles, blinds, bedding, haberdashery and craft supplies,
alongside a bespoke Made to Measure curtains service.

 

The 13 Home Focus stores are located in Dublin (6 stores), Cork, Limerick,
Galway, Kerry, Waterford, Wexford and Kilkenny.

 

The business has its head office and warehouse facilities located in Dublin.

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