Habitat owner considers sale

Furniture firm Habitat today confirmed its Swedish owners were considering putting the chain up for sale.

The group’s chief executive Mark Saunders said parent group ICAF Antillen had launched a strategic review “which may or may not lead to a sale of the company”.

Habitat was founded by Terence Conran in 1964 to make high-end design available at affordable prices.

It is largely based in the UK where it operates 38 stores, although the group has expanded internationally in recent years and now has 24 stores in France, six in Spain and five in Germany, alongside retail partnerships in a further 14 markets.

But the firm is said to have struggled amid the recession and the UK housing market downturn.

Its latest accounts reportedly show the UK business lost more than £13.4m (€14.7m) in the year to March 30, 2008 and it is thought that losses accelerated this year.

The group’s owners have now hired advisers Lazard & Co to look into its “options” for the firm, according to Mr Saunders.

He said: “This is an ongoing process with a number of options currently under discussion.

“No decision has been made yet.”

He added the group would continue to plough on with store openings in the UK and Europe over the next few months.

Liverpool is one of the cities earmarked for a new Habitat outlet

“My focus and the team’s focus is to continue giving great service to our customers, continue to push our new marketing drive across Europe and oversee the launch of a number of new stores,” said Mr Saunders.

The firm’s boss was hired in April to lead a turnaround designed to return the company to profitability within three years.

Habitat has signed up supermodel Helena Christensen as the new face of the group as part of its marketing push.