US-based home furniture manufacturer La-Z-Boy is planning to acquire six independently owned La-Z-Boy Furniture Galleries stores.
Financial details of the deal have not been disclosed by the companies.
The stores were acquired by independent dealers Chris and Lisa Washko in 2011. The transaction follows after the dealers announced their retirement.
La-Z-Boy chairman, president and CEO Kurt L Darrow said: “The La-Z-Boy Furniture Galleries network is growing and performing well, with consumers demonstrating a preference to shop in-store. We are thrilled to acquire the successful Seattle stores, which have sales 25% higher than average across the Furniture Galleries network.
“The stores are profitable, will be integrated into our retail segment, and will be immediately accretive. Additionally, having a dedicated warehouse in the market will provide enhanced distribution capabilities for all the La-Z-Boy companies.
“As we continue to grow our company-owned store base, we have the opportunity to further leverage the combined margin associated with our integrated retail model, where we earn a profit on both the wholesale and retail sales.”
Completion the deal is expected in June, depending on customary closing conditions.
Upon completion of the deal, the acquired stores will be part of La-Z-Boy’s Retail segment, which includes 155 stores.
Chris Washko said: “Lisa and I have worked with a great team of talented and passionate individuals across our business and we are proud of what we have built and the support the team has given to our local community.”