CP Group's right on the tiles with major acquisition

CP Group, based in Brighouse, West Yorkshire, yesterday revealed that it had bought the tile distribution business of Creta Ceramica for an undisclosed sum.

Creta, which is based in Stone, Staffordshire, went into administration in January after suffering financial problems caused by the recession.

Yesterday, a spokesman described CP's acquisition of Creta Ceramica's trade assets as being part of the company's growth strategy.

It is not known how many jobs will be saved at Creta as part of the deal, although it is hoped that a "significant proportion" will move to CP Group.

CP Group recently expanded the sales force for its growing contracts division.

It has become the largest supplier to DIY specialist B&Q and has also increased the size of its sales and marketing team.

The company supplies major national retailers such as B&Q, Topps, Tile Giant, Homebase and Focus with designer floor and wall tiles.

It will continue to serve Creta's network of customers around the country.

Tony Taylor, CP's chief executive, said yesterday: "CP Group is a private equity-backed company and acquisitions such as this are part of our positive growth strategy for the future.

"We are sad to see a distributor go into administration due to the downturn but we are delighted to be able to widely broaden our customer base and open up direct channels of communication and supply with independent retailers."

Founded by Mr Taylor in 1983, the CP Group has become the largest ceramic tile distributor in the UK with sales of more than 35m.

The company, which has attracted private equity backing from Nova Capital, supplies floor and wall tiles to the retail, private development, architectural and social housing markets throughout the UK.

The company employs 200 staff.

It operates from a head office in Brighouse and a 150,000 sq ft distribution depot in Huddersfield.

Law firm DLA advised CP on the acquisition.