Cath Kidston may come on the market next year

Friday 06 December 2013 16.15
TA Associates, which owns 60% of Cath Kidston, planning to put the company on the market next year
TA Associates, which owns 60% of Cath Kidston, planning to put the company on the market next year

The private equity group behind Cath Kidston is reportedly considering a sale of the retailer that could net its founder £50m sterling.

TA Associates snapped up 60% of the brand, known for its floral print products, in 2010 in a deal thought to value it at around £100m, and is now planning to put the company on the market next year, reports say.

A spokesman for Cath Kidston declined to comment on the sale claim but confirmed that a review of its future was under way and it had appointed advisers at UBS to help assess its options.

The business has just opened a new flagship store next to the Ritz in central London and last month launched an outlet in Shanghai.

"Cath Kidston is growing rapidly and has exciting plans to capitalise on the international appeal of its brand. In these circumstances it is prudent that the company and its owners should carefully assess the options available to take the company through the next stage in its evolution and UBS has been appointed to help," a spokesperson for the company said.

 TA Associates is expected to seek more than £250m for the business, the reports said. A stock market flotation had not been ruled out by TA, they added.

Ms Kidston founded her first store in 1993 in west London. It now has 59 shops and concessions in the UK and Ireland as well as 54 across Spain, Japan, South Korea, Thailand, Taiwan, Hong Kong and China.

Latest results for the year to the end of March showed annual sales up 19% to £105m, while underlying earnings rose 13% to £21m.