Howden Joinery Group has agreed to acquire the parent company of Pontefract-based Ultima Furniture Systems Limited, which trades as DIY Kitchens, for an enterprise value of £390 million — £292.5 million in cash and £97.5 million in Howdens’ shares.

Howdens CEO Andrew Livingston said: “Howdens’ highly successful trade-only model is built around supporting solely trade customers with outstanding in-stock availability, expert local depot teams, and an end-to-end service from design through to delivery.

“The acquisition of DIY Kitchens, which will be operated on a standalone basis, adds a complementary very profitable, business to the Group, providing access to non-trade end customers through its direct online channel with self-service planning, design and ordering tools.

“DIY Kitchens shares many of the characteristics that underpin Howdens’ success including well-invested manufacturing, strong vertical integration, scalable capabilities and a deep, well-embedded entrepreneurial culture.

“We are excited to welcome the DIY Kitchens team to Howdens. We have great respect for the innovative business model they have built, and we look forward to supporting the business’s continued growth and investing behind its next phase of development.”