I see Homebase has been sold for £340 million, & will be rebranded Bunnings after being bought by the aussie company,Bunnings is the largesy DIY chain in Australia & New Zealand. Wonder if we will see any aussie tools/brands making their way to our shores, going to be an interesting year 2016. http://www.bunnings.com.au/
I wonder if the new owners will review Homebase's pricing policy ? (or are they going to continue charging extortionate prices for their inferior tat) ??
Bunnings have a very good reputation for customer service and good prices. They also have a good reputation for trade customers as well. Be interesting what it will do to B&Q and Wickes. I wouldn't be surprised if Bunnings also bid for Wickes to give them quite good chunk of the market
It wouldn't surprise me, Wickes are still suffering from a poor summer sales last year,so time to buy Wickes (TP) shares I think. But, would Travis Perkins sell, they paid £950 million for Wickes in 2005. http://www.livecharts.co.uk/share_prices/share_price/symbol-TPK
Forgot they were part of Travis Group. They haven't really integrated them with Travis to benefit from being part of the group. I priced some stuff up the other day, Wickes were cheaper on some items but you had to pay £25 for delivery making them more expensive. Wickes seem to be closer to the Bunnings brand than Homebase. However, £950m for Wickes! someone saw them coming. I can't see Bunnings paying anything like that to acquire Wickes
Don't you believe it, Bunnings could easily sell a few Homebase stores that next to Wickes, Bristol is just one,to recoup the outlay. Been a lot of selling of TP shares today, been watching their shares for a few weeks. http://www.livecharts.co.uk/share_prices/sharetrades/TPK
It could well be Travis Perkins next. According to Wikipedia(?) operating income for 2014 was £300m not a lot considering the size of the group General Merchanting Travis Perkins - general builders' merchant Benchmarx - trade supplier of kitchens and joinery Contract Merchanting BSS - specialist distributor of heating, ventilation, tools, pipeline CCF - distributor of insulation, dry-lining, partitioning Keyline - heavyside and civils merchant Plumbing & Heating Plumbing Trade Supplies (PTS) - bathroom, heating and plumbing products to trade and public Direct Heating Spares (DHS) - heating spares City Plumbing Supplies (CPS) - specialists in quality plumbing and heating supplies to the trade and public Connections - distributor of plumbing and heating products City Heating Spares (CHS) - heating spares F & P Wholesale - plumbing and heating supplies SBS - Sustainable Building Solutions Birchwood Price Tools - wholesaler of power tools, hand tools and site equipment, including clothing brand, Scruffs Consumer Wickes - home improvement stores Toolstation - direct sale and online supplier of trade tools, accessories and hardware products Tile Giant - tile and ceramics merchan
Sorry didn't mention that was 2014. The forecast for 2016 is a lot better - £400m pre tax. Still a large group, lots of businesses 30,000 employees. Could be an interesting target
I reckon they will off load Wickes this year, it's not doing as well as it should. One area they need to improve is timber, need to stock longer lengths, & heavy side.
Maybe a partnership contract ? Bunnings buys Wickes, then Travis acts as a main supplier and transport partner for bulk materials while Bunnings build up their presence
£950m wasn't considered stupid in 2005. TP have kept Wickes very DIY and have only really pushed Benchmarx to the trade. I don't know about Bunnings, but it looks like watch out B&Q!
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