Potential sale to South African suitor boosts Office annual profits

On-going conversations about a potential sale to a South African suitor have spiked Office´s annual profits.

According to data accessed by ‘The Telegraph’, Office, which counts with the financial backing of private equity firm Silverfleet Capital, reported 43.2 million pounds in pre-tax profits for the year to January, 25. This is over three times the 13.3 million pounds it posted a year earlier.

Comparison, Silverfleet is reportedly valuing the shoe retailer at circa 300 million pounds, as it mulls an exit from the company. A year ago, in October, it emerged that the buy-out house had hired JP Morgan to advise it on a sale or stock-market float of Office, highlights the British media. In September this year, the Johannesburg-listed fashion retailer, Truworths, confirmed that it was in talks about a takeover of Office.

Markets sources point out in this regard that, in the case of a failed takeover, Silverfleet might try a float.

Silverfleet owns a 68 percent stake in Office since five years ago, when it bought it from West Coast Capital, the investment vehicle of Scottish entrepreneur Sir Tom Hunter.

Accounts filed with Companies House show revenues were up 5.5 percent to 270.2 million pounds, with a notable 1.2 percent rise in like-for-like sales.