IRISH DIY businesses Heat Merchants and Tubs Tiles have been sold to Harleston, the owner of the Irish-based Hevac heating and plumbing supplies group, for an undisclosed sum.
The businesses were part of BHT Group, which went into examinership on February 16th.
BHT exited the examinership process yesterday with the High Court appointing Kieran Wallace of KPMG as liquidator to the group.
Hevac bought the businesses from the liquidator. It was advised by Key Capital.
However, the future of Brooks builders’ merchants, also part of BHT, remains in the balance. Its future is likely to be decided by the liquidator next week. About 120 staff are employed in its retail branches.
Hevac has acquired 32 of the 36 Heat Merchants’ retail outlets in Ireland. It has also bought seven of the colocated Tubs Tiles outlets and five standalone shops.
These businesses will continue to trade and operate as normal, with Hevac expected to make an investment in working capital.
About 220 of the 314 jobs at these businesses have been saved by the sale. The other staff have been made redundant.
Commenting on the acquisition, Hevac managing director Séamus English said: “In effect, it saves and recapitalises two well-positioned businesses which have been stressed for some time because of an onerous debt burden.”
Hevac said customers who had deposits with the acquired businesses would have their deposits honoured by the new owners.
Harleston made a profit of €305,566 on turnover of €22.9 million in the year to the end of March 2011.
The directors of BHT Group said the sale of the Heat Merchants and Tubs Tiles businesses was a “positive development” that would secure 220 jobs.
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