Australian automotive parts company Bapcor has signed sale agreements for its New Zealand Footwear division, comprising Kiwi footwear chains Hannahs and Number One Shoes. The sale comes less than a year after Bapcor acquired the chains’ former owner, Hellaby Holdings, for $352 million.
Hannahs has 52 stores around New Zealand, plus one Pulp and 10 Hush Puppies sister stores. Number One Shoes has 51 stores.
Hellaby initiated a restructure for its footwear brands in September 2016 to address flagging performance. The Hannahs brand and stores received a refresh, and Number One Shoes was intended to return to its origins as a bulk offering after “migrating up the value chain”.
At the time of the February 1 2017 acquisition, Bapcor indicated that it would likely seek to keep Hellaby’s automotive businesses and sell the non-core businesses. These sales have now gone ahead for Hannahs and Number One Shoes and contract resources businesses.
A release provided by Bapcor to the ASX says the sales are expected to be completed over the rest of this month. It is also working to divest TBS Group.
“Expected proceeds from the total sales of non-core assets are consistent with Bapcor achieving the value of “assets held for sale” as disclosed in Bapcor’s June 2017 accounts of NZ$92m.”