Subscriber login Close [x]
remember me
You are not logged in.

Conviviality Retail acquires 37 stores from GT News in £6m deal

Published:  04 February, 2015

Conviviality Retail, owner of Bargain Booze and Wine Rack, has acquired 37 stores owned by GT News in a deal worth £6 million.

Bargain BoozeBargain Booze acquires 37 stores across Yorkshire and East Midlands

The 600-strong franchised off-licence estate, which saw its most-recent half-year profits jump 46%, will convert the Yorkshire and East Midlands stores to its own fascias over the next couple of months. Seventeen of the stores currently operate under the Spar fascia.

The move strengthens Conviviality's geographical expansion - it recently took over 31 Rhythm & Booze stores in Yorkshire and the North East in a deal worth £1.7 million, and is part way through a trial with Scotmid to be the exclusive Scottish franchisee for Bargain Booze.   

Diana Hunter, chief executive of Conviviality Retail, said: "This acquisition is in line with our plans for business growth in areas which are currently underserved by our brands. The new stores will provide further opportunities to grow our convenience offering in Yorkshire and the East Midlands and complements our acquisition of Rhythm & Booze.

"Bargain Booze is the best value off-licence-led convenience retailer in the UK, and the new stores are an excellent fit with our existing portfolio. We're aiming to increase their profitability with greater buying power and marketing expertise, not only on licensed products, but on the hundreds of non-licensed products we have available as well.

"Our prices are on average 10% cheaper than the supermarkets and this is just one of the benefits that helped increase franchisee profits by an average of 10% during 2014."

Last summer the group opened a new concept - BB's Warehouse - in Wakefield, West Yorkshire. It lists around 800 lines, including 400 wines, and offers bulk discounts. Prices start at £3.99. It is considering expanding the concept and looking for sites of 3,000 square feet plus parking.