“The excellent location for trading is what attracted us to the Queenstown business,” says Shaun Miller, CEO of HWWH. The retailer purchased the Queenstown store, a well-known family-owned business, for R1,21 million. It has been operating for 20 years and it has 1,000m² of retail space and a 2,000m² yard for excess stock. “We will re-brand the store and put our special touch on the business,” Miller adds. The new store will also incorporate a Bath and Tile Warehouse, a new division of the retailer. Certain key management will remain on board to ensure that customers are not negatively affected during the takeover process.
The chain has also purchased an existing business called 45 Degrees, in Gonubie, East London. It traditionally supplies middle to high LSM customers, shopping malls and contractors with granite tops, sandstone, cladding and upmarket tiles. The store has approximately 300m² of display area, with a large yard and working area for the granite top manufacturing section. It will be re-branded and fall under the Bath and Tile Warehouse banner with the group's range of tiles and sanitary ware added to existing offerings. This store will also display a hardware range to complement bath and tile renovations for example; bricks, lintels, airbricks, cement, doorframes and tools.
The Gonubie purchase reflects the group's decision to sell more upmarket products to a higher LSM category in urban areas; in line with this, it will consider providing credit to selected contractors that conform to a strict credit policy.
