Halford's Group Acquires Boardman Bikes

LONDON (Alliance News) - UK cycle and car maintenance product retailer Halfords Group PLC said it has acquired British bicycle manufacturer Boardman Bikes Ltd and Boardman International Ltd.

Halfords, which has increasingly focused its stores on bicycle sales, did not disclose any financial details for the acquisition.

It said Boardman Bikes will remain a standalone entity and continue to be led by Managing Director Andy Smallwood and Founder, Chairman and Design Director Chris Boardman.
Boardman is a former British track cyclist who won an individual pursuit gold medal at the 1992 Summer Olympics.

Having worked with Boardman Bikes since 2007, Halfords sells the Boardman Performance Series bikes exclusively in its UK and Republic of Ireland stores, while the Boardman Elite Series is sold at selected independent cycling retailers in the UK and the US.

"Our investment in Boardman Bikes, which have been ridden by multiple Olympic and world champions, demonstrates our growing position as a specialist cycling retailer," said Halfords Chief Executive Matt Davies in a statement.

Halfords also said that its trading guidance for the 2015 financial year remains unchanged. It said that despite challenging sales comparatives ahead, it expects to deliver group earnings before interest, taxes, depreciation and ammortisation in the the 2015 financial year, ahead of the 2013 financial year.

Halfords is one year into its three-year ‘Getting into Gear’ revamp programme, refocusing the shops on the most successful lines of cycles and car maintenance products, giving its staff better training and customer service skills, and improving product ranges and stock availability, which has so far paid off, it said. During is most recent financial year, the group spent GBP30.4 million in capital expenditure and continued to expand its autocentres business, by adding 20 net centres.

Last month, Halfords said its profits and revenues rose in its last financial year ended March 28, as the UK's growing passion for cycling - and for online shopping - plus a revamp of its products, drove strong growth across the business.

The group said it will report on its first quarter trading performance on July 10.

Halfords shares were down 1.1% at 491.70 pence Wednesday early afternoon.


By Rowena Harris-Doughty; rowenaharrisdoughty@alliancenews.com; @rharrisdoughty through morningstar.co.uk.