Portfolio
Nature of Business
Hobbs is a contemporary British design led fashion retailer of premium women’s clothing, footwear and accessories. The business has 3 brands, Hobbs London, which is timeless and elegantly stylish; Unlimited, which delivers sophisticated glamour and NW3, which is quirky, cool and on-trend. Hobbs opened its first store in Hampstead in 1981 and now has over 130 stores and concessions throughout the UK and Ireland, a franchise business in the Middle East, international and UK wholesale customers, as well as a fast growing ecommerce business. The company has over 1,000 employees.
Investment Overview
3i led the buyout of Hobbs in December 2004 after building a strong working relationship with Hobbs management, who selected 3i because of our enthusiasm, international footprint and retail sector expertise. We have further strengthened the management team since our investment by introducing new skills and experience to the team.
Hobbs’ ambition is to significantly increase market share in the UK, based on in depth customer insight, through a multi channel and multi brand strategy and to build upon its success in the Middle East to deliver a strong international presence. We are well placed to advise and bring experience of international expansion opportunities gained in regions such as the Middle East and Asia, through 3i investments such as PCD stores in China. Since our investment, Hobbs has grown significantly and has delivered a number of exciting and transformational initiatives. These include providing the platform for further significant growth through supply chain capability and head office functions, with a new headquarters in the centre of London’s premium retail district.
In January 2011, 3i invested a further £13.3m to support and escalate the growth strategy of the Hobbs brands. Hobbs has demonstrated its strength as a credible and trusted High Street retailer, continuing to deliver robust profits through the economic downturn, and growing strongly as the economy recovers. It is also increasingly proving its designer credentials to facilitate its growth ambitions and has the management team in place to deliver against these objectives.
