Sofa retail chain DFS returns to the stock market
- Credit: PA
Sofa retailer DFS Furniture returned to the London stock market yesterday after an absence of more than a decade.
DFS, which was founded in 1969 and now has 105 stores in the UK, Ireland and the Netherlands, began selling shares at 255p, valuing the business at £543million.
It had previously set its indicative price range at between 245p and 310p, which could have seen the firm valued as high as £1billion.
DFS, which began with a single store in Doncaster, was previously listed on the London market from 1993 to 2004 when it was taken back into private hands by its founder, Lord Kirkham.
DFS is now majority owned by private equity firm Advent International and the chain’s management, who have raised £108m from selling some of their holding in the business.
The firm has sold a 38% stake to new investors, raising £98m, which it says it will use to pay off debt and secure cheaper financing. Advent will still hold between 55.9% and 50.2% in the firm, while its directors will hold a 3.2% stake.