British cycling retailer Rapha has been sold for £200 million to the grandchildren of Walmart founder Sam Walton.
According to The Guardian, private equity firm RZC Investments, run by Steuart and Tom Walton of the Walmart family, has confirmed its purchase of the retailer, which saw a sales boost of 30 per cent last year to £63 million.
The upmarket cycling brand was founded in 2004 by Simon Mottram, whose stake in the business is valued at £25 million.
Despite the sale, Mottram will remain chief executive of the business and retain a large part of his shares.
Rapha plans to use the money to expand its international retail estate to over 100 stores worldwide. It already boasts stores in London’s Soho, Chicago and Seoul among others.
The brand has gained a cult following among the cycling community, seeing over 9000 members pay £135 a year for a membership in its club.
Its stores across the world are also known as “clubhouses”, dishing out free coffee to members.
“The arrival of RZC Investments as a shareholder means we can pursue our mission to elevate cycling as a global sport and recruit more participants by engaging them and enabling them to ride with us at all levels,” Mottram said.