SandpiperCI
SandpiperCI presented an interesting but complex opportunity as a conglomerate without focus. We spotted the opportunity to simplify the business and invest in its core asset, retail. This strategy – being overseen by an experienced CEO and Operating Partner - will create a focussed and stronger business.
Strong base, attractive market
SandpiperCI, formerly CI Traders plc, is the result of a merger between several long-established Channel Island companies, notably leading food retailer Le Riche and Ann Street, the Islands’ largest pub operator.
SandpiperCI is uniquely placed to build on an already strong base in the attractive retail market of the Channel Islands. We acquired Sandpiper in July 2007 for £444 million.
Joining forces to broaden expertise
We started working on the deal with SandpiperCI’s new Chief Executive Tony O’Neill in October 2006. Tony’s considerable retail experience was gained at Somerfield and Marks and Spencer. From the Duke Street end, that experience was supplemented by Operating Partner David Williams.
In January 2007 we obtained exclusivity and we completed due diligence by June. The absence of competition was largely due to the complexity of both the corporate set-up and the deal.
CI Traders was the Channel Islands’ largest quoted company with a broadly held and loyal shareholder base. As well as taking the company private through a Scheme of Arrangement, we sold a substantial number of properties to the outgoing Chairman, subsequently leasing some of them back.
Given SandpiperCI’s significant property assets, we joined forces with Europa Capital, the European real estate investment management group. They are continuing to help us get the best value from the deal, which we intend to achieve through a combination of property sales and development.
A unique position in the Channel Islands
SandpiperCI runs five supermarkets and 38 convenience stores and forecourts under the Checkers Superstores, Checkers Xpress and Safeway brands, as well as operating Marks and Spencer’s Jersey franchise.
Through its Cimandis division, SandpiperCI is the Islands’ leading wholesale distributor and runs two commercial bakeries and L’Abeille, a soft drink bottling business in France. In addition, it has extensive property interests in Jersey and Guernsey.
The SandpiperCI businesses have a unique position in the Channel Islands. Our intention is to grow the business by improving both customer service and choice for consumers.