Sept 24 (Askume) – This Sept 24 story has been corrected in paragraph 1 to put the sale price at £114 million instead of £11.4 million. This error appeared in an earlier story version.
Will Adderley, the biggest shareholder in British homeware retailer Dunelm (DNLM.L), and his private investment firm have sold the company to institutional investors for 114 million pounds ($152.92 million), bookrunner Barclays said on Tuesday.
Shares in the retailer fell 7.4% in early trade, with the stake sold at 1,140p, 7.7% below Dunelm’s closing price on Monday.
Following the acquisition of Capital by Adley, his family and his investment company WA, the company will now own around 37.6% of the retailer’s shares and will remain the largest shareholder.
WA Capital is a holding company controlled by Ederle and his wife, Nadine Ederle.
Will Adderley, currently Deputy Chairman of Dunelm, served as CEO in 1996 and led the company’s 2006 initial public offering on the London Stock Exchange.
Dunelm, a retailer that sells a variety of furnishings including beds, sofas, chairs and garden furniture, is trying to increase its market share by expanding its product range amid a difficult consumer environment .
Its shares, which have risen more than 16% this year, were down 7% at 1,148 pence by 0740 GMT.
The timing of the industry’s recovery remains uncertain as budget-conscious customers remain cautious about making significant purchases.
($1 = 0.7492 British pounds)
