The Saudi Arabian Public Investment Fund has acquired a 40% stake in Selfridges, marking a new chapter for the iconic department store group.
- This acquisition follows the collapse of the Austrian firm Signa, from whom Saudi Arabia purchased the stake.
- Thailand’s Central Group remains the majority stakeholder with a 60% holding in Selfridges.
- Both firms commit to injecting new investments to bolster the financial strength and developmental trajectory of Selfridges.
- The partnership aims to leverage Saudi Arabia’s investment expertise with Central Group’s retail experience for mutual growth.
The Saudi Public Investment Fund (PIF) has expanded its portfolio by acquiring a significant 40% stake in Selfridges, a renowned name in luxury retail. This move comes after the Austrian company Signa, which previously held the stake, faced collapse. The acquisition places the Saudi fund as a junior partner, joining forces with Thailand’s Central Group, who holds the remaining 60%.
Central Group expressed optimism about the newly formed partnership. The collaboration, according to Tos Chirathivat, Central’s executive chairman and chief executive, aims to “immensely strengthen the Selfridges Group’s financial position.” This aligns with their shared long-term vision, enhancing the growth and development prospects of the Selfridges Group.
Selfridges, an established group with a portfolio of 18 luxury department stores across the United Kingdom, the Netherlands, and Ireland, stands to benefit substantially from this new investment. The transaction includes not just the stake in the company but also its prime properties, notably the iconic Selfridges Oxford Street in London and the store at Manchester’s Exchange Square.
The Saudi fund has shown a vested interest in Selfridges for three years, previously acquiring a 10% stake during the Weston family’s auction. Its latest acquisition reflects its ongoing commitment to investing in globally recognized brands with strong growth potential.
Combined, the Saudi fund’s proven investment acumen and Central Group’s expertise in luxury retail and brand management are positioned to drive Selfridges into a new era of retail excellence, benefiting stakeholders broadly.
This partnership is poised to redefine Selfridges’ future, combining expertise in investment and luxury retail to foster growth.
