M and M Direct Ltd, the online and mail order retailer of discounted
lifestyle, fashion and sports apparel and footwear in the U.K., was
sold to TA Associates. The buyout firm acquired the majority-owned
stakes of its founders and ECI Partners. Terms of the transaction were
not disclosed.
Based in Leominster, M and M specializes in purchasing clearance stock
from major brands and selling those products at substantial discounts.
The company was founded in 1987 as M and M Sports, selling solely
sports apparel. Following the management buyout backed by ECI in 2004,
M and M expanded its product line to include fashion and lifestyle
clothing. M and M now sells more than 230 brands, including Adidas,
Animal, Bench, Levis, Miss Sixty, Nike, Puma, Quiksilver,
Reebok, Timberland and Vans. Its website, mandmdirect.com, receives 15
million visitors per year
Steve Robinson, formerly CEO of Tesco Direct and previously Finance
Director of Argos, will join M and M as CEO, taking over from Mike
Tomkins, who has led the company under ECI's ownership. Tomkins will
remain actively involved with the company as a non-executive director,
managing key brand relationships as well as leading various operational
and strategic initiatives.
“We are delighted to partner with a distinguished private equity firm
like TA, and to welcome Steve Robinson to M and M,” said Tomkins. “TA”s
expertise in helping profitable companies accelerate growth, and
Steve”s considerable online and catalogue retail sales experience, are
a great combination for M and M, and I look forward to working with
them both to take the business to the next level.”
Robinson commented, “I am delighted to join a business with such
strong momentum. Mike and the team have developed a well recognized
brand known for delivering quality products at a great value, and I
look forward to building on these achievements.”
Chris Parkin, who led the transaction for TA Associates and will join
the company”s Board commented, “With a compelling customer proposition,
a unique distribution channel for suppliers, and substantial exposure
to the online retail market, M and M is well-positioned to continue its
strong growth.”
“M and M fits very well with TA's growing focus on online growth
businesses with strong consumer brands,” said Ajit Nedungadi, Managing
Director of TA Associates, who will also join the company”s Board of
Directors. “We look forward to working with Steve, Mike and the rest of
the team to build further value in the company.”
David Ewing, ECI Partners Director commented, “Thoughtful repositioning
and re-branding, coupled with the increasing acceptance of the Internet
as a channel, has resulted in strong growth for M and M. We are very
pleased to have contributed to the company”s growth, and wish Mike and
the team continued success.”