South African billionaire pays £172m to raise stake in Deeside based frozen food wranglers Iceland Foods

A South African billionaire has paid £172m to raise his stake in Deeside based budget supermarket chain Iceland Foods

Christo Wiese heads up investment company BRAIT which has increased its stake in Iceland, they now own 57 per cent of the frozen specialists who are celebrating their 45 year in business this year.

The shares had been bought from Graham Kirkham, the billionaire founder of UK sofa chain DFS Furniture, and the Dubai retailer Landmark Group, Brait said in a statement on Friday.

The company agreed to buy majority stakes in British health-club provider Virgin Active and women’s clothing retailer New Look this year for a combined £1.5bn.

Mr Wiese first invested in Iceland three years ago alongside DFS furniture chain founder, Lord Kirkham and Dubai-headquartered retail group Landmark as part of a purchase from the liquidators of its owners, the failed Icelandic banks Landsbanki and Glitnir.

Founder and CEO Malcolm Walker and management will continue to hold 43% of the retailer.

Iceland CEO said Malcolm Walker said:

“We are absolutely delighted that Brait has underlined its confidence in the future of Iceland by increasing its commitment to our business.  Brait fully shares our belief in doing the right thing in the long-term interests of our people and customers, and we look forward to working even more closely with them to build on our current strategy of innovation and improvement.

“Iceland celebrates its 45th anniversary in 2015, and I have never been more excited about its long term prospects as we enter this new partnership with Brait. “We are grateful to Lord Kirkham and The Landmark Group for their support in facilitating our management buyout in 2012, and over the past three years, and wish them well for the future.”