Thursday, July 16, 2009

Borders subject of management buyout

Following months of speculation, it has been confirmed today that Philip Downer, Chief Executive of Borders UK and Finance Director Mark Little have led a management buyout of the troubled chain, for an undisclosed sum, backed by Valco Capital Partners (VCP). This follows the sale of leases from five of the company's stores to fashion chain New Look earlier in the week.

This is the second time in as many years that Borders has changed hands. The business was bought by the Luke Johnson backed Risk Capital Partners in September 2007.

In a brief statement Downer said: "We are delighted that we have been able to secure the future for Borders in what are exceptional times for UK retailing and the global economy. The Borders management team looks forward to continuing to develop our innovative approach to bookselling, driving sustained growth and success in the future, and strengthening our unique position in the UK book market."

No comments: