Denby Pottery has been sold for £30m in a management buyout, it was announced yesterday.
When I reported on January 20th that Denby Pottery was planning to make some of its employees redundant, I didn’t realise how bad things were.
According to a further article today on thisisderbyshire.co.uk, the company had £72m of debt, more than half of which has been written off as part of the buyout deal, led by current Denby Managing Director Garry Biggs and backed by private equity firm Valco Capital.
According to the report, Denby claims to have been operating successfully in recent years but struggling to “service its debt burden”.
Denby Pottery will be celebrating its bicentenary this year. Unforunately, it will also be cutting jobs.
The exact number of jobs due to disappear from the Derby Road, Denby factory is not yet clear. The company, which employs 400 people, is currently negotiating the cuts with its workers’ unions.
Denby – like so many companies – has been hit by the economic downturn and is experiencing drastically reduced demand for its tablewares, known worldwide for their good quality, colourful designs and robust stoneware manufacture.
By reducing its headcount and factory output, Denby hopes to be able to ride out the economic storm and survive. The company has already confirmed that its bicentenary celebrations will be toned down to suit the economic mood, although it has said it will still mark the occasion.
Derbyshire-based Denby Pottery has just been voted the ‘Tabletop Supplier of the Year’ for the second year running.
The award, given by retail organisation AIS, is based on feedback from tableware retailers and takes into account the support and service provided them by Denby over the last year. The pottery has also recently won an award for its visitor centre, which incorporates an exhibition of older Denby wares and a large retail section.
The Denby Homestore and Cookery Emporium was judged the Best Independent Housewares Store in the UK at the International Home and Housewares Show in the USA. The Denby Pottery Visitor Centre is popular with locals and visitors to the area – offering a combination of new Denby pottery for sale, an excellent cafe and an interesting museum of early Denby wares.
It’s well worthwhile if you are in the area and it’s good to see one of the few remaining wholly-British potteries having some success.