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Boohoo Group Rebrands As Debenhams To Drive Future Growth, Appoints Phil Ellis As Group CFO

By RTTNews Staff Writer   ✉  | Published:  | Google News Follow Us  | Join Us
rttnewslogo20mar2024

British online fast-fashion retailer boohoo group plc (BOO.L), Tuesday announced the decision to rebrand itself as Debenhams, an iconic British heritage brand.

Boohoo acquired Debenhams in 2021 following its collapse, subsequently repositioning it as Britain's leading online department store.

Since then, Debenhams, operating under a stock-lite and capital-lite business model, has experienced rapid growth, becoming highly profitable and cash generative.

The successful Debenhams turnaround, led by Dan Finley, Group Chief Executive Officer, now serves as a blueprint for the broader transformation of the Group.

Looking ahead, the company sees significant growth potential for Debenhams, with a medium-term goal of building a multi-billion-pound GMV business while targeting an EBITDA margin of approximately 20 percent (on a net sales basis).

Reflecting this, the Group will now operate as Debenhams Group with immediate effect, accelerating its transition to a Debenhams-led business and operating model.

In recent months, the company has taken similar decisive steps to reposition itself. It has closed its U.S. distribution center, completed a successful equity raise, sold its London office, and delivered 50 million pounds in annualized head office headcount cost savings. Meanwhile, the cost base remains under continuous review as part of ongoing efficiency measures.

As part of this new strategy, the Group has announced the appointment of Phil Ellis as Group CFO and a member of the board, replacing Stephen Morana with immediate effect.

Currently, Phil serves as Finance Director of Debenhams and Managing Director of DebenhamsPay+.

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