Thailand’s Central Group is poised to strengthen its control over Selfridges as opportunities arise from the Signa group’s assets being put up for sale. Last year, Central and Signa collaborated to acquire Selfridges Group, which encompasses renowned department stores such as Selfridges, Brown Thomas, Arnotts, and De Bijenkorf, for around £4 billion. Initially, both companies held equal stakes in the venture, but due to Signa’s documented difficulties, Central took over the operating company of Selfridges.
Recent developments suggest that Central may also assume control of the property division. Signa’s property unit, Signa Prime Selection, has filed for insolvency, and it is expected that its assets worth €19.3 billion (£16.8 billion) will be sold to repay creditors. Observers believe that Central is eager to strengthen its grip on the property division of Selfridges Group, as it has already gained majority ownership of the operating division by converting a loan into equity.
Furthermore, the Selfridges property company has been engaging in talks to secure fresh funding from its supporters, indicating a continued effort to bolster the financial position of the property division. If Central successfully acquires the Signa group’s assets, it will enable them to consolidate their control over Selfridges in various aspects.
These developments arise during a time of global uncertainty, as the retail industry faces multiple challenges such as the rapid growth of e-commerce and the impact of the COVID-19 pandemic. Despite these hurdles, Selfridges has managed to withstand the storm, showcasing resilience and a commitment to delivering a unique and luxurious shopping experience. With Central potentially gaining greater control over the company, Selfridges can continue to thrive and adapt to the ever-changing retail landscape.
Useful links:
1. Reuters: Thailand’s Central Group could boost its control over Selfridges in sale by Signa
2. Vogue Business: Thailand’s Central Group may increase control over Selfridges in potential Signa deal
