Tesco has sold the Dobbies Garden Centres business in a £217 million cash deal.
Dobbies, the UK’s second-largest garden centre retailer, has been bought by an investor group led by private equity firms Midlothian Capital Partners and Hattington Capital. The new owners said the business would remain based in Scotland.
In a joint statement, Andrew Bracey of Midlothian Capital Partners and Barney Burgess of Hattington Capital, said: “We are delighted to have been chosen by Tesco to take ownership of the Dobbies Garden Centres business. It is a great business with fantastic colleagues.”
Tesco chief executive Dave Lewis paid tribute to the role played by staff in developing Dobbies during the eight years it owned it. “Through their hard work and dedication to customer service, Dobbies colleagues have built a great business, and I would like to thank them for everything they have done,” said Lewis.
Dobbies, which has its headquarters in Lasswade, employs more than 2,700 people. It was acquired by Tesco in a deal worth about £124.5m in 2008. The chain has 35 stores including 15 in Scotland and 19 in England.