Headlam Group’s Sale-Leaseback of Bristol Distribution Centre and Directorate Changes

Since the news of Headlam Group’s intention to appoint administrators and suspension of its listing, some key changes have occurred as part of the strategy to restructure and recover the company.

Firstly, on Tuesday 8th September it was announced that Headlam Group completed the sale and leaseback of its Bristol distribution centre. The sale proceeds of £3.15 million (excluding VAT) represent a premium of 50% to the book value of £2.1 million and 13.7% to the last market valuation, undertaken in December 2025, of £2.775 million.

The Bristol distribution centre remains a core part of Headlam’s distribution network, the company reports, and therefore trading continues as usual following the sale. The Bristol Trade Counter will also remain operational. The Group has entered into a leaseback until 31st December 2026.

£3.15 million of the sales proceeds (excluding VAT) have been received in cash following simultaneous exchange and completion. The net sale proceeds will be used to repay existing debt after deducting part of the proceeds to fund the upfront leaseback costs for one month during the restructuring period as Headlam seeks to establish a more sustainable platform for the future, says the company.

On the same day, it was declared that Stephen Bird, Non‑Executive Chairman, and Nick Kelsall, independent Non-Executive Director and Audit Committee Chair, will both step down from the Board.

Conditional on the successful implementation of the restructuring, Wilf Walsh, current Non‑Executive Director, will assume the role of Non‑Executive Chairman. Wilf served as Chief Executive Officer of Carpetright from 2014 to 2021 and then as Chair of parent company Nestware Holdings until his retirement in 2022.

Subject to the successful completion of the administration and restructuring, the intention would be to seek the restoration of the listing and transition to a reconstituted Board, the Group concludes.

www.headlam.com