Speculation over DFS’s potential float next year has been dismissed by sources familiar with the situation.
Reports emerged this week suggesting the sofa giant’s owner Advent International was on the verge of appointing advisors for an IPO planned for next year. However a well-placed source poured cold water over the suggestion.
The source said there was “not a plan” to float, and that if owner Advent International wanted to exit there are a “whole range of options available”. “There has been no decision made at all,” the source said.
Advent International acquired the retailer in 2010, after buying it from founder Lord Graham Kirkham for £590m.
DFS, which manufactures its own furniture, delivered EBITDA growth up 8.5% to £48.3m in the nine months to April 27 driven by new store openings. Sales jumped 7.8% to £481.8m.
The retailer originally floated on the stock market in 1993, valued at £265m. But Kirkham bought it back in 2004 before then selling it on again six years later.
DFS declined to comment.
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