Cork, Ireland, January 5, 2006--Tile chain Right Price Tiles has bought Tiles R Us in Britain, in its first foray across the Irish Sea. The value of the deal has not been disclosed but Tiles R Us went into administration last month with debts of 15 million pounds sterling, according to the Irish Independent.
Railway Tile Store, which trades as Right Price Tiles in Ireland, is run by Chris and Susan Dineen from Cork and the group operates over 14 outlets here, making it one of the largest tile chains in the country.
Railway Tile Store clinched a deal to purchase F&R Dunlop Services, the operator of 60 stores around the UK, in a move that safeguards 319 jobs.
The move comes a month after administrator PricewaterhouseCoopers (PwC) was handed control of Tiles R Us, which is believed to have been suffering from mounting losses and rising rents.
PwC closed 30 stores on December 6 and made 131 staff redundant as it worked on a refinancing plan that could enable the business to survive. It is understood the plan involved offering creditors 20p for every GBP1 they were owned.
Rob Lewis, joint administrator at PwC, said a number of parties had subsequently shown an interest in Tiles R Us and it became apparent a sale would benefit creditors more.
