Borders UK

Borders Bookshops has been sold to a management buy-out team backed by Valco Capital Partners.

With revenue of £150m, Borders UK is the third largest book retailer in the UK. Through a broad offer beyond books, Borders positions itself as a leading retailer of ‘knowledge and entertainment’ supplying in addition to its 40,000 book titles per store, additional merchandise such as computer games, high quality greeting cards and stationery as well as its own retailing operation for CD/DVDs and a coffee bar.

Borders UK has undergone a management buy-out led by CEO Philip Downer and FD Mark Little, backed by Valco Capital Partners. The buy-out secures the future for Borders in what are exceptional times for UK retailing. With the backing of its new investor, the Borders management team look forward to continuing to develop an innovative approach to bookselling and strengthening their unique position in the UK book market.

Clearwater advised the company and Risk Capital partners on a successful global sales process that concluded within two months of appointment. The deal coincides with the sale of a number of stores to New Look which exchanged just prior to completion of the MBO. Working with IMAP, the international M&A organisation, over 50 international and domestic buyers were considered for the deal worldwide.

Philip Downer commented:


"Clearwater were at our side every step of the way guiding us through an accelerated process in 2 months in a very challenging climate. We were impressed that Clearwater fully tested the market in this short period both in the UK and in over 20 other countries through partner firms within their international IMAP network. Marc Gillespie and his team were very supportive of us and our plans for Borders and with their thorough approach, helped us to find the right new investors for our business."