Dunelm has entered the Irish market after acquiring soft furnishing retailer Homefocus Group for an undisclosed sum.
Homefocus, which trades under the Home Focus at Hickeys’ brand, has 13 stores across Ireland and a website providing home delivery and click-and-reserve options for shoppers.
Dunelm said the acquisition marked an ‘attractive opportunity’ to enter the Irish homewares market, which is worth more than £1billion.
It also highlighted the potential for Dunelm offer a broader range of products in Homefocus stores, in line with the its existing smaller format stores in the UK.
It said it also saw an ‘opportunity to introduce a more comprehensive online proposition and, over time, will assess new store opportunities across Ireland’.
Nick Wilkinson, chief executive of Dunelm, said: ‘In Home Focus we have found a high-quality and complementary business, with a shared heritage in home textiles and strong values which stem from family ownership.
‘We’ve really enjoyed getting to know the team and look forward to welcoming them to the Dunelm family as we work together to further develop and invest in their specialist home proposition.’
Ambitious: Nick Wilkinson is the chief executive of Dunelm
He added: ‘We see a clear opportunity to introduce more choice and value into the offer which Home Focus has built for its customers.
‘With an established national store footprint and expertise in mutual growth areas like Made to Measure, we’re confident that Home Focus will help us to continue unlocking our full potential.’
Ian Donnelly, managing director of Home Focus, added: ‘With around 80 years in business, we have been looking for a new custodian to take Home Focus into its next chapter.
‘Dunelm immediately struck us as having a clear cultural fit, with a strong team guided by sound values and focused on investing for long-term growth.’
In October, Dunelm reported a 3.5 per cent increase in first-quarter sales, driven by higher volumes and a broadened product range as more than a third of its sales came from the digital presence.
The retailer laid out plans in September targeting a 10 per cent growth in market share over the medium term by broadening its product range and enhancing its in-house brand.
Dunelm said its digital sales accounted for about 37 per cent of the total £403million in sales for the three-month period ending 28 September.
Dunelm shares rose 0.27 per cent or 3.00p to 1,126.00p on Thursday.
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