Greenlit Brands to sell general merchandise division

Including Best & Less, Harris Scarfe and Debenhams.

Greenlit Brands, formerly Steinhoff Asia Pacific, plans to sell its Best & Less, Harris Scarfe, Debenhams Australia and Postie New Zealand brands to Australian private equity firm, Allegro Funds. Part of the general merchandise division, these four brands consist of 322 stores and over 6,100 employees.

The decision to sell these brands is in line with Greenlit Brands’ strategy of refocusing on its core household goods division which includes Fantastic Furniture, Freedom, Snooze, Plush, OMF, Unitrans and FutureSleep.

Following the transaction, Greenlit Brands will comprise a total of 319 retail stores with more than 3,800 employees across Australia and New Zealand. The transaction is expected to occur at the beginning of December and Greenlit Brands will remain a wholly owned subsidiary of Steinhoff International Holdings.

Greenlit Brand executive chair and group CEO, Michael Ford (pictured) said, “Disposal of the general merchandise business is a significant strategic initiative which will allow Greenlit Brands to concentrate on its core household goods brands and optimise their already-strong position in the Australian and New Zealand markets.

“At the same time, the businesses will now join a group with a strong track-record in building and enhancing businesses with a single-sector focus. We believe this will unlock new opportunities for all the people working within these brands. Our gratitude and best wishes go to everyone who has helped build the businesses to where they are today.

“In a sense, this transaction sees us return to our roots as a focused household goods group with a ladder of brands with demonstrable integration and as always, striving for our ambition to achieve remarkable retail.”

Allegro Funds managing director, Fay Bou added, “The general merchandise business includes some iconic retail brands that have long-standing loyal customers and passionate staff that have supported the business serving generations of Australians and New Zealanders. We look forward to supporting a highly experienced management team to transform each of the brands.”

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