From Home Furnishing Business
La-Z-Boy to Sell Bauhaus
Furniture supplier La-Z-Boy (NYSE: LZB) has agreed to sell its Bauhaus upholstery unit to an investor group.
The investor group is led by Britt Allred, president of Bauhaus. Terms of the transaction, expected to close in the company's fiscal fourth quarter, were not disclosed.
La-Z-Boy acquired Saltillo, Miss.-based Bauhaus in 1999.
"We are pleased to have the opportunity to sell Bauhaus to an investor group that will provide continuity and seamlessness to all its customers through the transition period to new ownership," said Kurt Darrow, chairman, president and CEO. "I am confident Britt and his team will ensure customers receive the same level of innovation and service from Bauhaus that they have come to expect and we wish the new ownership group and employees all the best going forward. From La-Z-Boy's perspective, with our emphasis on integrated retail, Bauhaus is not a strategic fit from a size perspective in terms of its revenue or earnings and we believe our resources will be further enhanced by narrowing our focus to our core business strategy."
Allred was named president of Bauhaus in September, 2012. Prior to that, he was senior vice president of sales and marketing for the company from March 2006 until his promotion.