Sainsbury’s has bought east Midlands convenience store operator JB Beaumont.
Sainsbury’s would not comment on the price it paid for the six-strong portfolio, saying it had signed a confidentiality agreement with the family owners.
For the financial year ended 29 May 2004, JB Beaumont turned over £13m. The company’s stores range in size from 2,220 sq ft to 5,100 sq ft. Its net asset value is £1.2m.
The acquisition follows that of Bells Stores in February and Jacksons in August.
Sainsbury’s said the deal underlined its commitment to grow sales in its convenience business by £400m by the end of 2007/08.
Sainsbury’s has 260 shops in its convenience store portfolio, which accounts for just over 2% of the convenience store market.
The six stores will operate as a separate business unit and will continue to be run by the current management team led by Louise Beaumont.
Jim McCarthy, managing director of convenience at Sainsbury’s, said: “We are delighted that we have been able to acquire JB Beaumont Ltd and increase our presence in the east Midlands.
“They have quality stores in good locations and it fits perfectly with our new convenience strategy to grow our portfolio of neighbourhood convenience stores.”
Louise Beaumont, managing director of JB Beaumont, said: “We are entering a new and exciting era at Beaumont and this agreement is in the best long-term interests of the business and staff.
“We’re delighted to be working alongside Sainsbury’s and this deal will enable us to continue to grow our business, enhance our customer offer and preserve our local identity.”
The six JB Beaumont stores are located in Cotgrave, Bingham, Keyworth, Long Eaton, Chilwell and Gedling. All 193 staff will transfer with the business.
References: EGi News 30/11/04
