Topps Tiles Plc has acquired 30 stores belonging to tile distributor CTD Tiles for £9m.
The announcement of the acquisition came as CTD went into administration (19th August). Prior to this the company supplied tiles to the retail, trade and commercial markets through CTD Tiles, CTD Trade and CTD Architectural Tiles. The company had total annual revenues of approximately £75 million. The retail business operated 86 stores across the UK, each with a separate trade and retail showroom, and had total revenue of approximately £50 million in the year to June 2024.
Additionally the company’s commercial business had sales of around £16 million from the housebuilding market and approximately £8 million from the Architect and Designer market.
The stores being acquired by Topps Group had total sales of approximately £20 million in the year to June 2024, and the acquisition also includes all the CTD brands, selected stock and customer data. As well as adding 30 well-established stand-alone stores to the Topps Group estate, the acquisition will provide Topps Group with the opportunity to enter the housebuilding market and also grow market share within the A&D sector. Topps says the stores will continue to trade under the CTD brand. 92 staff will transfer to the purchaser.
The administrators, James Lumb and Will Wright of Interpath, will be aiming to dispose of the remaining 56 CTD Tiles stores, which Topps are not acquiring and which are now closed.
Speaking about the failure of CTD, James Lumb, managing director at Interpath Advisory, says: “CTD Tiles is a major player in the industry, but market conditions proved insurmountable as consumer and trade demand failed to recover in line with expectations. The transaction with Topps Group provides continuity for a considerable number of staff and stores as part of a major tiles group. We are working with the team to ensure a smooth transition for customers and suppliers.”
Rob Parker, Topps Group CEO says: “The CTD brand and assets are an excellent fit with our existing business and the acquisition creates a new and complementary specialist tile business within the Topps Group.
“The acquisition of 30 high quality stores and selected supporting infrastructure, together with the intellectual property and customer data required to service CTD’s existing commercial customers in the housebuilding and A&D markets, provide us with an opportunity to make material progress towards our Mission 365 sales goal. We are excited about the future of CTD within the Topps Group and look forward to welcoming our new colleagues to the business.”
