Sofology targets expansion with £10m investment

Multichannel furniture retailer Sofology has received £10m in investment from Business Growth Fund (BGF).

The Manchester-headquartered firm, which sponsors the Channel 4 reality show Gogglebox, plans to use the eight-figure capital investment boost to drive its expansion across the UK.

Last year saw Sofology add four new sites to its UK-wide network of 33 stores and achieve sales of £143m, a year-on-year rise of £41m, under the leadership of chief exec Jason Tyldesley.

With BGF’s backing, the company plans to continue opening stores, expand its fleet of delivery vehicles and strengthen its digital presence with a revamped website and app.

Jason commented: “Over the past two years, we have made significant investment in the business.

“This has involved opening new stores and creating a technology-led multichannel platform.”

He added: “We now want to scale-up even further, and accelerate the pace of our roll-out. We felt that BGF – with its minority approach to investing – was the right fit for the team and for Sofology.”

BGF’s Matt Widdall and Pinesh Mehta led the transaction.

Commenting on the deal, Matt said: “Jason and his management team have a strong track record, a clear strategy for growth, and plenty of ambition.

“We are delighted to be partnering with the business by providing funding and support.”

North West entrepreneur and Sofology chairman Bill Holroyd is providing support and guidance as the company embarks on the next stage on its ongoing growth strategy.

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