Hobbycraft on brink of being bought by Modella Capital - report
Arts and crafts retailer Hobbycraft is reportedly on the brink of being sold to a specialist investor whose executives have backed chains including Paperchase and Tie Rack.
According to Sky News, Modella Capital is in advanced talks to buy Hobbycraft from private equity firm Bridgepoint. City sources told Sky a deal could be signed within days.
Modella is affiliated to the turnaround firm Rcapital, a former owner of Little Chef.
On its website it lists its portfolio of investments as including No Ordinary Designer Label, the licensing partner of Ted Baker in the UK, which collapsed into administration earlier this year.
Hobbycraft, which has been owned by Bridgepoint since 2010, trades from more than 85 stores. The chain was founded in 1995.
Sky said it was unclear on Tuesday how much Modella was likely to pay for the company, or whether other bidders were waiting in the wings if the deal fell through.
Bridgepoint declined to comment to Sky, while Modella could not be reached for comment.
Disclaimer & Declaration of Interest
The information, investment views and recommendations in this article are provided for general information purposes only. Nothing in this article should be construed as a solicitation to buy or sell any financial product relating to any companies under discussion or to engage in or refrain from doing so or engaging in any other transaction. Any opinions or comments are made to the best of the knowledge and belief of the writer but no responsibility is accepted for actions based on such opinions or comments. Vox Markets may receive payment from companies mentioned for enhanced profiling or publication presence. The writer may or may not hold investments in the companies under discussion.