Travis Perkins reportedly looking to sell Wickes by mid-2020
British builders’ merchant and home improvement retailer, Travis Perkins plc, have reportedly been looking into the possibility of offloading national DIY retailer, Wickes by the middle of next year. Travis Perkins have not commented on the Sunday Times’ report.
Travis Perkins already started breaking down the company after they separated Wickes’ IT systems from the rest of the group in order to offload it in the near future.
It has been rumoured that the total value of any potential deal for Wickes could be in the region of £400m-£500m. This is despite the news that the firm has seen its profits fall by a third to £69m over the last two financial years.
The tumultous times and the retailer have continued in recent weeks, as their CEO Simon King was replaced by former Tesco executive David Wood as part of a shake-up ahead of any potential sale.
Despite having a positive first quarter in 2019, where like-for-like sales increased by 10%, the plans to sell have gone ahead.
In a statement, Travis Perkins stated: “As the Group stated at its capital markets update in December 2018, we continue to prioritise improving the performance of Wickes to create optionality to maximise value over the medium term.”
TP declined to comment on the Sunday Times piece.