Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner.

Homebase is taken over for nominal sum by retail firm

Homebase has branches in the north and north-east and it is not clear if there will be closures
Homebase has branches in the north and north-east and it is not clear if there will be closures

DIY chain Homebase is heading for new ownership after retail restructuring firm Hilco agreed to buy the ailing business for a nominal sum.

Hilco is thought to be paying just £1 for Homebase, closing the chapter on a disastrous foray into UK retailing by Australian conglomerate Wesfarmers.

The deal, which is expected to complete by the end of next month, will see Wesfarmers book losses of up to £230 million and the firm exit the UK after picking up the DIY chain for £340 million in 2016.

It is unclear at this stage if Hilco, which also owns HMV, will embark on a store closure programme.

Homebase employs about 12,000 people across 250 UK stores, including branches in Aberdeen, Portlethen, Inverurie, Inverness, Oban and Wick.

Hilco will acquire all Homebase assets, including the brand, store network, freehold property, property leases and stock.

Wesfarmers managing director Rob Scott said: “A divestment … is in the best interests of Wesfarmers’ shareholders. The investment has been disappointing, with the problems arising from poor execution post-acquisition being compounded by a deterioration in the macro environment and retail sector in the UK.”

Market analyst Richard Lim, of Retail Economics, said: “The acquisition of Homebase has been an unbelievable disaster for Wesfarmers.”

Already a subscriber? Sign in

[[title]]

[[text]]