Costcutter, the local retailer which has over 1500 commercial properties in its portfolio, has saved 425 jobs by buying Rhythm & Booze, an off licence chain, out of administration.
Costcutter, which is owned by Bibby Retail Services (BRS) bought all of Rhythm & Booze’s 68 commercial properties and secured all employees’ jobs in the deal. Speaking of the acquisition, Nick Ivel, Chief Executive of Costcutter and Director of BRS, said: “Rhythm & Booze is a very well respected business and one that we have long admired.
“We are committed to expanding our portfolio of company owned stores and this is an important deal that adds a significant number of new sites to the group.”
Along with employees keeping their positions under the new ownership in the 68 commercial properties, it is understood that Martin Swaine, Managing Director of Rhythm & Booze, will also retain his position. Speaking of the acquisition, Martin stated: “Bibby Retail Services is committed to giving the business the support needed to revive its fortunes and I will be working closely with the new owners to ensure an effective integration of the business and to drive it forward into the future.
“This deal has secured 425 jobs and also ensures that the Rhythm & Booze brand survives, which is excellent news for suppliers and customers.”
Rhythm & Booze has been trading as an off licence for the past 19 years and has commercial properties in Humberside, Lincolnshire, Nottinghamshire and Yorkshire. The company grew fairly quickly during the noughties and in 2009 they had a total of 42 stores and a turnover of over £50 million.
With the slogan ‘The offie that giz thee mooore!’ the company thrived on its Yorkshire routes and bargain offers. One offer in particular was ‘The big nite in’, which allowed customers to choose three items from a selection of beers, wines, meals, ice cream and films – all for just ten pounds. But with the Government clamping down on alcoholic offers, is Rhythm & Booze’s business model doomed?
Costcutter are confident that the business model can survive, as Nick Ivel put across: “Under the stewardship of Bibby Retail Services we are confident that we can quickly re-establish its prominence and implement a robust business strategy that will lead to longer-term growth and expansion.”
