Selfridges co-owner Tos Chirathivat, the executive chairman and CEO of Thailand’s Central Group, has admitted that the £4bn acquisition of Selfridges and several other European luxury department stores was too high a price, especially in light of rising global interest rates.
In his first interview since the 2021 purchase, Chirathivat told the Financial Times the price was “high” in hindsight.
“You would want the lowest price possible to buy something… is £4bn high? Yes, it’s high, especially in this environment,” he explained.
But he suggested the investment might prove worthwhile in the long term: “Maybe 10 years from now it won’t be too high, but if you ask today, then of course it’s too high.”
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Central Group, which also owns De Bijenkorf in the Netherlands, and Brown Thomas and Arnotts in Ireland, became the majority owner of Selfridges through its acquisition from the Weston family. However, the deal has not been without its challenges. Its partner Signa Holding, which co-invested in the purchase, collapsed at the end of 2023.
Chirathivat said that Central had not been aware of Signa’s dealings with Saudi Arabia’s Public Investment Fund (PIF), which led to PIF increasing its stake in the retailer to 40%. “He only told us later when it was done… that he sold part of it to the PIF,” Chirathivat revealed.
Despite the setbacks, Central is focused on revamping Selfridges, particularly its flagship store on Oxford Street, with plans to enhance the six-floor space with new products, services, and more luxury brands.
“We have three good floors [of six]… we are working to improve every area,” Chirathivat said.
“The grand plan for Selfridges is to become the best store in the world. Right now, it’s probably in the top five.”
To lead this transformation, Central appointed André Maeder who joined in May, as CEO of Selfridges Group. Chirathivat remained optimistic about the future and told the FT “We can do a lot more.”
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