Comet Electrical Chain Sold For... £2

By Gary Cutlack on at

Retail park based electrical chain Comet has found itself a new home, with existing owner Kesa selling the entire franchise, all the stores and stock, to a private company. For £2.

Obviously crisis-struck 2011 is not a great time to own many warehouses full of expensive televisions and Blu-ray players, with Kesa happy to offload the stores to a private equity group calling itself Hailey. The group will attempt to turn it around alongside investment group OpCapita, which specialises in taking broken retail businesses and fixing them up.

But it's not an entirely clean breakup -- Kesa is also investing some money (£50m) into the new attempt to turn the chain around and will continue to manage the Comet staff pension fund.

Plus, if there's some sort of modern retail and financial miracle that sees us all start buying expensive electrical things again, Kesa will take a share of the profits should the chain be subsequently sold on by the new owners for a better price. [BBC]