UK's Largest Wood, Laminate Seller Seeks Buyer

Birmingham, England, July 23, 2008--Administrators of laminate flooring chain Floors-2-Go were looking for a buyer for the firm after it became a victim of the struggling housing market.

The Kroll administrators immediately closed 41 of the group's 132 stores, cutting 97 of the chain's 450 staff. Sales have been hit by the depressed housing market and a resulting fall in home improvement spending. The firm is the UK's biggest wood and laminate dealer.

Kroll partner Fraser Gray said: "Retailers are battling a particularly hostile trading environment at present, and it is clear that the pain is being felt acutely in the home improvements sector."

But Mr Gray added that the business would continue to trade while administrators weighed up the options for the retailer.

"Floors-2-Go has a strong brand, a well-dispersed nationwide network of stores, an established online presence and a contracts division, so despite the harsh trading conditions, we remain hopeful of selling the business as a going concern," he said.

Floors-2-Go began as a family business in Birmingham in 1999. It floated on the London stock market in 2004, evolving from cash and carry-type warehouses to retail superstores in prime high street and retail park locations.

It was bought for £52.4 million in December 2006 by directors and private equity firm Alchemy Partners.