Pre-pack sale for Oak Furnitureland
Oak Furnitureland has been bought by an investment management firm for an undisclosed sum in a pre-pack administration deal.
Davidson Kempner Capital Management bought the chain following a sale process undertaken by Deloitte. The deal includes new funding provided by Davidson Kempners’s affiliated asset-lending platform, Breal Zeta Commercial Finance, in support of the management’s business plan.
The chain’s 105 stores and warehouses will re-open on Wednesday. Alex Fisher, chief executive will continue to lead the company and its 1,491 employees have transferred as part of the acquisition. Oak Furnitureland says the pre-pack deal was pursued after it had been affected by a challenging retail environment coupled with the adverse trading conditions imposed by the coronavirus pandemic.
‘The deal announced today puts Oak Furnitureland on a stronger financial footing, enabling us to drive forward our clear plan for growth. We are a fantastic business with a loyal customer base and an omnichannel retail presence, and we are looking forward to working with our partners to ensure a successful future,’ says Fisher.
‘We have been working closely with the management team under difficult market conditions to try and find a funding solution and the deal announced today is a positive one which secures the future of the business. We would like to thank all of those involved in the transaction and wish the management team every success in now taking the business forward,’ says Rob Harding, Deloitte joint administrator.