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Home shopping firm spends £34m in deal

October 17th 2006 - This is Bradford

A company which posted record results in the spring has acquired a clutch of new businesses.

Burley-in-Wharfedale-based Findel, the home shopping and educational supplies company, has paid out £34 million in the deal.

It has snapped-up Kitbag, Europe's largest on-line sports retailers which operates the official website stores for Manchester United, Chelsea, Celtic, FC Barcelona and Nike Football.

Also coming under its business umbrella is Kleeneze, one of the longest-running door-to-door sales cleaning product firms in the country. Joining the ranks is I Want One Of Those - IWOOT - an internet retailer selling gifts and gadgets.

Findel acquired the businesses, which were part of the group comprised of European Home Retail and its subsidiaries, from the administrators or administrative receivers.

The deal comprises the trading and business assets of Kitbag, IWOOT and Kleeneze, the remaining 40 per cent of the share capital of Home Farm Hampers and its infrastructure assets not already owned by Findel and certain other trading assets for the Cabouchon brand name.

Patrick Jolly, Findel's chief executive, said he was confident the businesses were strong and could flourish under Findel's control and contribute to the overall strength of the group.

He said: "These acquisitions are directly in line with our stated strategy to grow our home shopping business profitably through bolt-on acquisitions and maximise the return on the assets."

He said Kitbag and IWOOT would enhance the range of the company's internet operations while Kleeneze, which was established in 1923, offered more than 1,500 home and personal care products and sold through a network of distributors in the UK, Ireland, Netherlands and Germany.

Home Farm Hampers enabled club members to save for food and non-food hampers supplies just before Christmas.

In May, Findel recorded record turnover of £527.8 million, an 11 per cent rise on 2005. Pre-tax profits were up by £6.6 million - a rise of 14 per cent.

It has been a leader in home shopping through mail order catalogues and educational supplies to the majority of UK schools for more than 40 years.

Express Gifts, the company's home shopping division, has 1.6 million customers in the UK.

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