The chief executive of British department store chain Debenhams, Rob Templeman, has categorically stated that the chain will not go public this year. However, he did not rule out the possibility of a float next year, reports the FT. Despite tough trading in the past few months, Debenhams saw underlying sales in the first half ended August increase by more than 2 percent.
The previous six months saw a stronger performance with a rise in like-for-like sales of 4.2 percent. Templeman indicated that September had been a tough month. With a trading update coming up in November, Templeman said that while sales growth was “getting tighter”, margins had improved. He added that the chain would provide “good profit increases for the year”. The refurbishment of the chain’s Oxford Street store in London, which has cost the company £8 million, has been completed, said Templeman. The endeavour has added 36,000 square feet to the store. Debenhams is planning a catwalk show outside the store on Saturday in an effort to lure consumers back to the West End, following the July terrorist bombings.
Templeman plans to add 45 department stores to the existing 119 stores in the Debenhams stable. The ultimate goal is 240 stores within the next five years. Earlier in the year, Debenhams completed a £2 billion refinancing. It was the second time since private equity firms Texas Pacific, CVC Capital and Merrill Lynch Private Equity took over the chain for £1.9 billion at the end of 2003. Debenhams has already made capital repayments of approximately £1.2 billion, twice the amount of the combined equity investment of £600 million that the three parties made. Templeman is also rolling out Debenhams Desire stores – smaller exclusively women’s wear concepts – across high streets in the UK. He believes that there is a possibility of opening 150 Debenham Desire stores.
Click Here: FIJI Rugby Shop
Recent Comments