Wolseley to sell Bathstore

Builders' merchant Wolseley has appointed advisers to find a buyer for Britain's largest specialist bathroom retailer, Bathstore. The Observer understands that Catalyst Corporate Finance is handling the sale. Bathstore's founder Patrick Riley, trade buyers and private equity firms are all said to be watching developments closely.

Wolseley announced in March that it intended to sell 19 non-core businesses, and has already offloaded tool hire firm Brandon Hire to Rutland Partners. Bathstore, as a consumer business, is considered to be out of step with Wolseley's wholesale focus. Sources familiar with the sale said that they expected Bathstore to be bought by a mid-market private equity firm. While a price tag of £150m has been mentioned, it is expected to sell for between £70m and £90m.

Source : The Observer