Essential reading for retailers and suppliers in the home improvement market

Cmostores.com doubles turnover following KCP investment

Published: 5 March 2019 - Fiona Garcia
 

The online construction materials firm, which rebranded as cmostores.com last month, has continued its rapid growth, reporting a 100% uplift in turnover since the investment by private equity house Key Capital Partners (KCP) in 2017.

Last year, the online building products retailer saw sales grow by 46%, hot on the heels of sales growth of almost 50% for the year before.

Since the company’s MBO in 2017, KCP has worked with the cmostores.com management to strengthen the senior leadership team, including recruiting Dean Murray as non-executive chairman, Andy Dunkley as CEO and Sue Packer as finance director. KCP has also supported investment in the infrastructure required to sustain the business’ current growth, which included relocating to new 32,000sq ft premises in Plymouth and the introduction of new IT systems.

KCP’s in-house research team also sourced a bolt-on opportunity, with the acquisition of DoorWeb, and the private equity house supported the firm throughout the transaction. The deal was successfully completed and the new store, www.doorsuperstore.co.uk, which was launched in October 2018, succeeded in generating sales of over £350,000 by the end of 2018.

CEO Andy Dunkley said: “Cmostores.com is a fast-growing, disruptive player in the construction materials sector and we need to be able to make the right decisions at a quick pace to keep ahead in such a dynamic environment.

“Over the past two years, KCP has been a valuable partner, supporting and challenging us to continue our development and expansion as well as sourcing lots of opportunities for us to consider for both organic and acquisitive growth.

“We have now doubled the size of the business since KCP’s investment while generating substantial cash and EBITDA. As a management team, we are focused on continuing our exceptional performance.”

In May 2017, KCP invested £8.65million in the business, giving it a majority stake, with KCP partners Mike Fell and James Excell joining the board.

Mike Fell commented: “We recognised the huge potential of this digitally-savvy business two years ago and knew that, with our strong track record working with e-commerce businesses, we would be able to give it the support it needed to continue its upward trajectory.”

KCP
KCP's Mark Fell and James Excell

 

Comments


(Your email address will not be published)
Already Registered?
Sign In
Not Yet Registered?
Register
Printable View E-mail Bookmark
*

What do you think?


What would help you maximise sales of hardware & tools?





Latest reader comments

re: A guide to construction safety for home builders

Daniel Wood
Safety should always be the first priority. If followed properly, these precautions are all we need to tackle all unwanted accidents. I ...

re: Further Homebase closures ahead

Shaun Collorick
Cheltenham homebase has closing down signs outside, but not Gloucester homebase.... Yet!...

re: B&Q sales slide, as Screwfix decision to exit German market costs millions

B&Q bob
No surprises from us on the shopfloor management paralysed by fear of jobs and to weak to take chances so bumble around. Ranges boring, and ...

re: Further Homebase closures ahead

Miss l'a tesha gc Wilson
Please keep me updated regards all Store closures Thank you...

re: Graham Bell to head up B&Q as part of Kingfisher reshuffle

Peter Earl
I HOPE GRAHAM BELL THE NEW CEO OF B&Q GETS TO GRIPS OF THE COMPANY VERY SOON.MY WIFE WENT FROM SHADOXHURST TO GILLINGHAM TO GET SOME ...

Most read stories