Rutland buys Edinburgh Woolen Mills

The manager of Rutland Trust has acquired the retail group for £49m of equity

Rutland Fund Management, the independent manager of Rutland Trust, has completed the £49m acquisition of Edinburgh Woolen Mills (EWM), the retail group, from Grampian Holdings.

EWM , which Rutland said had underperformed in recent years, has 278 retail outlets. In the last financial year, the group generated a turnover of £157.3m and a profit of £11.7m before interest and tax.

Rutland said it was confident it could improve the group's performance through more active and direct management. Grampian had owned EWM since 1996, when it bought a 75 per cent stake in the group for £64.4m. Earlier this year Rutland was facing competition from Alchemy Partners, which at one point made an unsuccessful 95p per share offer for the retailer.