Likewise Group plc (LON:LIKE), the fast growing and most progressive floor coverings distributor in the UK, has announced that its wholly owned subsidiaries, Likewise Holdings Limited and Likewise Floors Limited, have acquired a number of assets from Headlam Group plc and HFD Limited (each in administration), acting by their joint administrators, Will Wright, Chris Pole and Ryan Grant of Interpath Ltd for total consideration of £14.9 million (plus VAT) in cash.
Highlights
- The assets purchased as part of the transaction include the following:
- The 90,000 sq. ft. freehold Thatcham Distribution Centre, with its operating assets, and inventory on premises
- The trade and assets of Crucial Trading
- The trade and assets of Concept Flooring in West Bromwich and Stoke-on-Trent
- Principal intellectual property
- Total cash consideration of £14.9 million (plus VAT), funded entirely from the Group’s existing cash resources.
- The Company has also entered into an agency agreement to assist the joint administrators during the next nine months to sell Headlam’s remaining inventory in an orderly manner as to not disrupt the UK floorcoverings market.
- 110 employees at Thatcham, Crucial Trading and Concept Floors are expected to transfer to the Group.
- The Acquisition is a significant step for the Group. Following Headlam’s administration and the Acquisition, the Board believes Likewise is the largest floor coverings distributor in the UK, with an enlarged brand portfolio, additional freehold distribution capacity and a broader customer base. The Acquisition will further support the Group in achieving its goal of £300 million of revenue in the medium term.
The Acquisition
Headlam Group plc was a distributor of floor coverings in the UK, supplying independent retailers and contractors.
Headlam Group plc and HFD Limited entered administration on 8 September 2026. Will Wright, Chris Pole and Ryan Grant of Interpath Ltd were appointed joint administrators (the “Joint Administrators”). Headlam Group plc’s shares were listed on the Official List of the Financial Conduct Authority and admitted to trading on the Main Market of the London Stock Exchange. The Acquisition is of assets only; the Group is not acquiring any Headlam company.
At the centre of the Acquisition is Headlam’s 90,000 sq. ft. freehold distribution centre at Thatcham, which transfers to the Group together with its operating assets and the inventory held on site.
Alongside the property, the Group has acquired the trade and assets of two specialist businesses: Crucial Trading, and Concept Floors as well as the principal intellectual property.
110 employees at Thatcham, Crucial Trading and Concept Floors are expected to transfer to the Group.
The Inventory Agency Agreement
Other than the inventory held at Thatcham, the Group is not buying Headlam’s inventory outright. Instead, it will help the Joint Administrators sell the current inventory over a nine month period through the Group’s sales and distribution network. Proceeds will be shared between the Group and the Joint Administrators. The Group will occupy Headlam’s Coleshill site under a nine month exclusive licence to help facilitate the inventory agency agreement.
Consideration and funding
The total cash consideration of £14.9 million (plus VAT) is payable on completion of the Acquisition. The Group is also making an on-account payment of £2.3 million (plus VAT) as part of the inventory agency arrangement.
The consideration and on-account payment is funded entirely from the Group’s existing cash resources, with no new debt or equity being raised on completion following the Group’s recently completed a £32.5 million equity fundraising.
Strategic rationale
The Board believes the Acquisition supports the Group’s strategy in a number of ways:
- Infrastructure: Thatcham adds a freehold distribution centre to the Group’s national network, strengthening coverage in the South of England.
- Intellectual property / products: the Headlam products are long established with UK flooring retailers and are complimentary to the Group’s current portfolio.
- Businesses: Crucial Trading and Concept Floors add to the Group’s profile and customer reach.
- Inventory: the Group’s 109-strong sales team and national distribution network can support both suppliers and customers across the floor coverings market by continuing supply many of the markets key products.
Information on the assets acquired
In its latest trading update announcement released on 14 July 2026, during the period 1 January 2026 to 30 June 2026 Headlam Group plc generated unaudited revenue of approximately £188.8 million. As the assets the Group is acquiring have been acquired out of administration, separate revenue and profit / loss figures attributable to them are not available.
Outlook
The acquired assets and inventory agency agreement are not expected to make a material contribution to the Group’s profitability in the remainder of the current financial year ending 31 December 2026, however are expected to provide a positive contribution in the following financial year, FY27.
The Acquisition is of strategic importance as it further supports the Group in achieving its goal of £300 million of revenue in the medium term.
The Board will provide a further update on the integration and financial impact of the Acquisition at its full year trading update in January 2027.
Tony Brewer, Chief Executive of Likewise Group plc, said:
“The Acquisition is a key milestone for the Group as it now becomes the leading distributor of floor coverings in the UK. The acquisition of the Thatcham Distribution Centre adds significant capacity to the growing Likewise distribution network and the purchase of well-known brands together with the Crucial Trading and Concept Floors businesses are very welcome additions. We look forward to welcoming our new colleagues, and to working with the administrators to give continuity to customers and suppliers.”
