TCMC strengthens UK position with multi-million Ashley Manor deal
Alstons parent Thailand Carpet Manufacturing Company has strengthened its position in the UK upholstery market by agreeing to buy a 75% stake in Ashley Manor parent DM Midlands.
TCMC is paying £26.25m in cash for its stake in the Alexander & James and AMX Design owner.
TCMC will invest a further £8.75m in DM Midlands’ new holding company, valuing the deal at £35m.
DM Midlands was jointly owned by David Lee, md and his wife Debbie and Mark Smith, design director and his wife Julie. Lee and Smith will continue in their positions.
In the year to 31 March, DM Midlands generated a pre-tax profit of £4.77m, up from £3.41m on sales of £71.05m, up from £68.38m. TCMC says DM Midlands accounted for 8% of the UK upholstery market.
‘This is an exciting and very positive development as we enter the next phase of our highly successful business. The partnership with TCMC is a great fit for us and both parties share the same values and similar cultures and means genuine long term investment and expansion which is great news for all those associated with us,’ says Lee.
‘Ashley Manor, Alexander & James and AMX Design are prestigious British companies with excellent growth potential. The businesses are thriving and are deservedly renowned for their innovative furniture design and quality products. We look forward to developing the potential even further, strengthening the UK business and expanding further in their global markets,’ says Pimol Srivikorn, Thailand Carpet Manufacturing company chairman.