Chinese retailer set to take over Hamleys
Iconic toy retailerHamleys is set to shift into Chinese hands, with C.banner International Holdings confirming that talks are in an advanced stage.
In a statement, it says it's in the final stages of agreeing a sale with the current French owners, Ludendo Enterprises. The deal is believed to be worth around £100 million.
The famous Regent Street store is the oldest toy shop in the world, having started out as 'Noah's Ark' in London's High Holborn, before moving to its present spot in 1881. It has been awarded Royal Warrants by both Queen Mary and Queen Elizabeth II, who bought toys there for their children.
The seven-storey shop has become a tourist destination in its own right, particularly in the run-up to Christmas.
Now, though - and like so much else - it's to move into Chinese ownership. C.banner is China's second-largest retailer of middle-to-high-end women's shoes, making it a slightly odd fit, but says it wants to diversify.
It's also hoping to sign a distribution deal with House of Fraser – itself also in Chinese hands.
"In respect of marketing and product sales, a strong brand is an outstanding resource. Acquisition of a world-renowned brand could greatly enhance the company's competitive advantages," says C.banner chairman Chen Yixi.
"C.banner will explore areas of cooperation among the respective existing business with Hamleys to achieve greater synergy, therefore enhancing the strengths and profitability of the company."
Despite its quintessentially English image, Hamleys moved out of British hands when it was sold to Icelandic investor Baugur in 2003. Since then, it's had a string of foreign owners, ending up with French toy retailer Groupe Ludendo in 2013.
It now has stores in several UK cities, but also has 50 branches overseas, including stores in India, South Africa and Saudi Arabia. It opened Europe's largest toystore in Moscow in March.
The deal's likely to be signed this week, during Chinese president Xi Jinping's state visit to the UK.
Around £30 billion of trade deals are said to be being negotiated, including an £18 billion investment in the Hinkley Point nuclear plant.
