Footwear retailer Jones Bootmaker is preparing to hoist a For Sale sign over the business.
Chief executive Ken Bartle and chairman Peter Phillips are thought to be seeking about £40m to £50m for the business, which operates 93 stores. The retailer is set to appoint accountancy firm BDO to handle the potential sale.
EBITDA at Jones Bootmaker almost trebled from £1.4m to £4m in the year to January 30, 2010, after its strategy to focus on more branded merchandise paid off.
The business is thought to be on track to generate EBITDA of £6m this year. It has outlined plans to overhaul its website this autumn to help it double online sales to £5m next year and will also open five shops this year.
A source told Drapers a sale closer to the £40m mark was more likely.
Bartle and Phillips, who together with a group of undisclosed investors own more than 70% of the business, ploughed £4.5m into Jones Bootmaker in March last year to regain control from private equity firm Arev and its Icelandic investment fund Kcaj, which were hit by the global financial crisis. The move reduced Arev and Kcaj’s stake to about 18%.
Fellow footwear chain Office was also put up for sale last month, with a potential price tag of up to £200m. Office is expected to circulate an information memorandum this month.