Founders sell The Yorkshire Linen Company in management buyout

The founders of The Yorkshire Linen Company have sold the retailer to its senior management team.

Husband and wife team, Ross and Kirsteen Leventhal launched the business in 1993 with the opening of their first branch in Halifax.

The company, headquartered in Harrogate, now has 43 branches which are mainly in the north of England, specialising in the sale of home furnishings such as bedding, duvets and curtains.

The deal sees Ross and Kirsteen reduce their shareholding from 95 to 40%.

The remaining shares are divided between the management team, led by finance director Linda Shreeve. The team includes Neil Bowyer, Stephen Edmundson, Julia Wilson and Jeff Worrall.

Ross said: “We are pleased to stay involved with the business as our exit will be phased over the next three years. There is a fantastic, loyal team here and, as a family business, we want to support them.

“The aim is to strengthen the existing business and then expand towards 100 stores over a five-year period.”

The deal was financed through company cash reserves along with a short-term loan from the Leventhals. A new holding company, YLC Holdings, has been established.

Ross and Kirsteen Leventhal were advised on the transaction by Christian Hunt, partner at Langleys Solicitors in York.

Ross added: “We were grateful for the support of Langleys, which made for a seamless transition and ensured that we as a business did not take our eye off the ball.”

Christian Hunt commented: “The Yorkshire Linen Company is a great retail success story for this region and we were pleased to help Ross and Kirsteen to secure a management buyout that opens up an exciting new chapter for the company.”

Tax advice to Ross and Kirsteen Leventhal was provided by Garbutt & Elliott.