H&M’s coathanger supplier Braiform shops for $20m of new funding

 
Lucy White
Braiform both reuses and recycles its coathangers

The world's second-largest clothes hanger company, London-based Braiform, has revealed it is aiming to raise $20m (£15m) from private equity and growth investors.

The business, which is owned by its co-chief executives Graeme Rutherford and Ben Hunt, wants to deepen its environmentally friendly focus, develop its technology and build on its physical assets.

Braiform supplies high street giants including Asda, H&M, Mothercare and Matalan, and believes its focus on recycling and reuse sets it in good stead for expansion. But it isn’t solely relying on supplying physical stores, having recently developed a line of labels and tags.

Read more: Retail sales set to paint a bleak picture of life on the high street

“The growth of online retail doesn’t worry us, but it is on our radar,” said Rutherford. “We’re looking into different products and services around that dot-com space. We already do business with Amazon in India, for example, supplying their delivery bags.”

Hunt added: "There are several acquisition opportunities in related businesses that are available, and even without that we see a huge opportunity for organic growth."

Rutherford and Hunt – who both began their careers in Braiform almost 20 years ago as a sales rep and customer service rep respectively – are keen to retain control of the business as new funds are raised, having taken the reins in a management buyout four years ago when Braiform separated from Spotless Group.

“The ownership is now where it belongs, with people who know the business, and that’s something we’re trying to preserve for our children and our children’s children to come,” said Rutherford.

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