Magnet: Yorkshire-founded firm back under domestic ownership as previous owner pulls out of UK
Yorkshire-founded kitchen manufacturer Magnet has now come back under domestic ownership following an acquisition by private equity firm Alteri Investors.
The company, which now manufactures most of its kitchens at a site in Darlington, had been part of the Swedish Nobia Group for more than 20 years.
The move comes as Nobia announced that it was pulling out of the UK to focus on its Nordic Kitchen business. UK-based Alteri Investors said the acquisition would “secure the long-term future of the well-known retail brand.”
Speaking on the announcement, Sophie Rose, CEO of Magnet, said: “Alteri’s investment is a real vote of confidence in our business and our people.
“We’ve made significant progress across retail, trade and B2B, and it’s fantastic to have a partner who recognises the strength and potential of these.
“From the momentum we’re seeing in our smaller-format showrooms to the exciting partnerships we’re developing, we’ve built a strong platform for growth. With Alteri’s resources and expertise, we can now accelerate that progress and take our three-year plan even further.”
With over 450 people working at the firm’s North East facility, Magnet is one of the town’s largest employers.
Alteri, which specialises in retail and consumer businesses, currently holds a portfolio including well-known brands such as Bensons for Beds, as well as CBR Fashion and the Baby Walz Group in Germany.
In a statement issued following the acquisition, Arnold Vos, investment partner at Alteri Investors, said: “We are very excited to support a specialist kitchen provider with such strong heritage and a clear plan for growth.
“The business has shown resilience in a challenging market and has built solid foundations for the next phase. Its broad capability across the kitchen sector and ability to deliver at scale stand out.
“We see meaningful opportunity ahead and look forward to supporting the team as they execute their plans.”
Magnet added that it is “committed to the UK” and plans to open more stores in the coming months.
The firm said these would include smaller-format showrooms, designed to “bring kitchen retail back to the high street”.
The company’s latest high-street store opened in Stamford, Lincolnshire, in September.
Magnet last quarter announced a return to profitability.
The company posted like-for-like consumer sales up five per cent, with average order values also up more than 12 per cent.
The firm also announced that its B2B pipeline was up 34 per cent year-on-year.