Carlyle acquires Very Group as Barclay family exits after two decades
American investment firm Carlyle has taken control of online shopping giant Very Group in a deal that sees the Barclay family leave the business after 20 years, reports BritPanorama.
The Liverpool-based group, whose brands include Very and Littlewoods, has confirmed weekend reports that Carlyle was to become its owner, with international media group IMI continuing “as a key stakeholder”.
The group originated in the Littlewoods home shopping empire founded in Liverpool by the Moores family in the 1930s, and owns even older home shopping brands such as Kays. It became the Shop Direct Group in 2003 and rebranded as The Very Group in 2020, generating annual sales of more than £2 billion and serving over 4 million customers.
In addition to its Liverpool head office, the group operates a major distribution hub called Skygate near Derby, alongside another hub in Wrexham and bases in London, Dublin, and Bolton.
Carlyle has been investing in Very since 2021. Very stated that the deal provides “a strengthened capital base and enhanced financial flexibility to support investment in its long-term growth plans”.
The value of the deal has not been disclosed. The Barclays took control of the business in 2002 in a deal valued at £750 million, and reports suggest Carlyle has more recently invested hundreds of millions in Very.
Very noted that under the Barclays, the business transformed “from a traditional catalogue business into one of the UK’s largest and most dynamic online retailers.” The group highlighted its recent full-year results, which indicated record earnings growth driven by strong performance in both its retail and financial services sectors.
Very Group CEO Robbie Feather stated: “This marks an important milestone for The Very Group as we move into an exciting new phase of growth. We are delighted to continue to partner with Carlyle and IMI. Their continued backing provides us with a stronger foundation to execute on our strategy, increase investment in technology and the customer experience, and to build on the momentum across the business.”
Feather also expressed gratitude towards the Barclay family for their stewardship and contribution to the company over the past two decades.
The acquisition of Very Group by Carlyle underscores a significant shift in the online retail landscape in the UK. As the firm looks to bolster Very’s position, the emphasis on increased investment in technology and customer experience reflects broader trends in the industry, aiming to adapt to evolving consumer demands. This transition resonates with Carlyle’s strategy to leverage capital for sustained growth within a competitive market.
