Cloud over future of struggling DIY stores
STRUGGLING retailer Homebase has drafted in a specialist consultancy firm to help advise its management team, after concerns over the DIY chain's future continued to intensify.
The Press Association has reported that Boston Consulting Group (BCG) has been brought in to advise boss Damian McGloughlin, who took the helm at Homebase in January, two years after it was bought by Australian conglomerate Wesfarmers for £340m.
Homebase has branches at Ocean Retail Park in Burrfields Road, Portsmouth, and at Collingwood Retail Park off Newgate Lane in Fareham.
Homebase’s future was thrown into doubt two months ago when Wesfarmers announced £584m in writedowns from the acquisition, and said half-year losses would widen from £28m to £97m.
Jonathan De Mello, head of retail consultancy at Harper Dennis Hobbs, said: ‘Obviously the rebrand did not work and they did not spend enough money on that rebrand in the UK.’