The Morphy Richards home appliances brand is reportedly being sold to a Chinese company.
The Irish Times reported that Glen Dimplex Guangdong Xinbao Electrical Appliance Holdings (Xinbao) have signed a “Memorandum of Understanding” regarding the purchase of the global brand in a deal believed to be worth more than £170 million.
The Chinese and British operations will be fully transferred initially, while Glen Dimplex will keep rights to distribute the brand under licence in Ireland, Australia and New Zealand for “at least” 10 years.
The transaction is subject to Chinese government approval, and it is expected to close by the end of the year.
The paper reported that Fergal Leamy, chief executive of the Glen Dimplex Group told staff that he and Fergal Naughton, the executive chairman of Glen Dimplex, had been working with the Chinese company for two years on a plan to further develop the Morphy Richards brand in China. This then led to an offer of an outright purchase of the brand.
“We felt it made sense,” Mr Leamy said.