Central Group has partnered with Saudi Arabia’s Public Investment Fund (PIF) for a full acquisition of Signa’s stake in Selfridges.
- Central Group will hold a 60% stake, while PIF will own 40% of Selfridges Group’s operating and property entities.
- The partnership aims to strengthen Selfridges’ financial stance and support future growth.
- Signa Group initially acquired Selfridges in 2022 but sought financial restructuring in 2023.
- The collaboration is expected to leverage PIF’s investment experience and Central Group’s retail expertise.
Central Group, a conglomerate based in Thailand, has entered into a significant partnership with Saudi Arabia’s Public Investment Fund (PIF) to acquire the stake held by Signa in Selfridges Group. This move comes as part of a broader strategy to reinforce the financial and operational strength of Selfridges, a leading luxury department store group.
Under the terms of the agreement, Central Group will take a majority position, holding a 60% equity share in both the operational and property segments of Selfridges Group. Meanwhile, PIF, a sovereign wealth fund from Saudi Arabia known for its global investment acumen, will own the remaining 40%.
The deal also includes considerable fresh investment from both parties aimed at fortifying Selfridges’ financial position and laying the groundwork for future development initiatives. The intent is to ensure Selfridges can continue to expand and adapt in the dynamic luxury retail sector.
Signa Group, an Austrian property developer, had originally purchased Selfridges through a joint venture with Central Group for £4 billion in 2022. However, by late 2023, economic pressures prompted Signa to engage restructuring experts to manage its financial difficulties, culminating in this new acquisition deal.
Tos Chirathivat, the Executive Chairman and CEO of Central Group, expressed optimism about the new partnership, noting that the alliance with PIF would ‘immensely strengthen’ Selfridges’ position within the industry. Chirathivat highlighted the synergy between PIF’s investment portfolio and Central’s luxury retail experience as a pivotal factor for sustained success, benefiting all stakeholders involved.
This strategic acquisition marks a pivotal step for Selfridges towards bolstering its financial security and market presence.
