Bargain Booze

Bargain Booze is a chain of off licence shops, that operates in the United Kingdom.[1] Established in 1981 in Ettiley Heath Sandbach and named Savon Draught, it grew to 836 shops,[1] and established the Bargain Booze Select Convenience shop franchise.[2] From 2013 to April 2018, it was owned by Conviviality plc, who also owned the Wine Rack chain;[3] both brands were acquired by Bestway on 6 April 2018.

Bargain Booze
Privately held company
Founded1981 (1981)
HeadquartersCrewe, Cheshire,
United Kingdom
Area served
United Kingdom
ProductsGroceries
ParentBestway
Websitewww.bargainbooze.co.uk
Bargain Booze, Pudsey, Leeds (2009)

History

The company originates from a wholesale wine and spirits business, founded by Allan Whittle and Robert Mayor.[4] In 1981, they opened their first retail outlet in Sandbach, Cheshire.[5] The first Bargain Booze franchise opened in 1988, and was the first time the Bargain Booze fascia was used.[6][7]

In January 2000, Whittle & Mayor sold the company to BWG Foods. In July 2002, BWG was bought out by Electra Partners.[4] A management buyout backed by a private equity firm, ECI Partners, took over the company for £63.5 million in 2006.[8] Until July 2013, ECI remained the majority shareholder when the company floated on the Alternative Investment Market (AIM). With the collapse of First Quench Retailing, who owned Threshers in November 2010, Bargain Booze became the largest off licence chain in the United Kingdom.[8]

In September 2013, the company acquired the Wine Rack chain, an off licence chain that specialises in retailing wine, with its 22 outlets mostly located in London and South East England.[3] In December 2013, the company launched its first television advertising campaign.[9] In December 2017 Bargain Booze purchased Central Convenience Stores from Palmer and Harvey.

Operations

The chain was owned by Conviviality, with a Crewe-based head office, and also owned Matthew Clark and Bibendum.[1] Bargain Booze is operated through a franchise model, with around 390 franchisees.[4] The chain is strongest in the North of England, particularly the North West.[10] It is the largest off-licence chain in the United Kingdom.[11]

Financial difficulty

In March 2018, the company owner stated that it faced bankruptcy unless it could raise £125 million, as it issued its third profits warning in a month. The company had earlier said it was considering tapping shareholders for funds, and had arranged meetings with institutional investors to persuade them to take part in its share placing to raise the required money.[12] This was unsuccessful and at the end of March, Conviviality announced its intention to appoint administrators within a fortnight, putting 2,600 jobs at risk.[13] In early April 2018, the Bargain Booze and Wine Rack brands were acquired for £7 million by wholesaler Bestway, while Matthew Clark and Bibendum were acquired by C&C Group, the owner of Magners cider.[14]

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gollark: ++remind 2d8m for general, practical use in, for example, the software industry, or more generally the production of software which satisfies some kind of user need, and instead is designed purely for recreational purposes, whether in order to serve as a demonstration for an argument of some form [cont]
gollark: Will do, hold on.
gollark: ++remind 2d3m produce the specification for a form of language designed for providing instructions to computational devices (not necessary limited to real or practical computational hardware) and yet which is not suitable and/or intended [cont]
gollark: ++remind 2d Human individual using the Discord account with the identification number 319753218592866315 (three hundred nineteen quadrillion seven hundred fifty-three trillion two hundred eighteen billion five hundred ninety-two million eight hundred sixty-six thousand three hundred fifteen), [cont]

References
  1. Robinson, Duncan (17 July 2013). "Bargain Booze plans to crack open the south with IPO proceeds". Financial Times. Retrieved 17 July 2013.
  2. "Who We Are". Bargain Booze. Archived from the original on 5 April 2015. Retrieved 1 May 2015.
  3. Butler, Sarah (2 September 2013). "Bargain Booze owner buys Wine Rack as it expands into south of England". The Guardian.
  4. Holland, Tiffany (17 July 2013). "Analysis: Bargain Booze – the off-licence chain's owner at a glance". Retail Week.
  5. "£65m Deal for Bargain Booze". Manchester Evening News. 12 January 2006.
  6. "Bargain Booze Has Stiff Challenge". The Birmingham Post. 17 January 2006 – via Questia.
  7. "Winning 'marriage of convenience'". Off Licence News. Agile Media. 2 February 2007.
  8. News, Manchester Evening (16 January 2006). "Bargain booze at the double".
  9. "Bargain Booze festive campaign offers free Scotch egg to all customers on Christmas Eve". The Drum.
  10. O'Connell, Dominic (5 January 2014). "Our share tips for 2014". The Sunday Times. Retrieved 14 November 2017.
  11. Goodman, Matthew (30 May 2010). "Bargain Booze beats supermarkets at their own game". The Sunday Times.
  12. Butler, Sarah (21 March 2018). "Bargain Booze owner Conviviality must raise £125m to halt bankruptcy". The Guardian. Retrieved 22 March 2018.
  13. Kollewe, Julia; Davies, Rob (29 March 2018). "Bargain Booze owner Conviviality to file for administration". The Guardian. Retrieved 29 March 2018.
  14. Fisher, Martyn (6 April 2018). "Bestway buys Bargain Booze". Better Wholesaling. Retrieved 6 April 2018.
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