The Warehouse buys Noel Leeming
As news circulated that The Warehouse had bought Noel Leeming the phones rang hot.
Tim Morris was quoted as saying “the move by The Warehouse was ‘‘eminently sensible’’, as it had long struggled to get reputable brands on board – particularly in its consumer electronics and appliances division.
He expected The Warehouse would bring some of Noel Leeming’s brands into its stores, but it would likely keep the range limited.
‘‘I don’t think they’re going to remove women’s underwear and fill that space with fridges.’’
The acquisition also boosted its property portfolio, giving it options to move stores in its stable around different sites – for example, replacing a Noel Leeming store with a Warehouse Stationery store if it made sense.
But electronics retailing remained an ‘‘ugly space’’, with players hit hard by massive price reductions on products such as flat-screen TVs, Morris said.
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