German kitchen manufacturer Nobilia which has sales of over €1.6bn, completed the transaction to become a ‘significant shareholder’ late last month
Late last month, German company Nobilia, which has sales of over €1.6bn, completed the deal with MCN Investment Holdings, which also owns the kitchen and furniture brand Kube. Directors of McNally include Ian, Edward and Orla McNally, who took over from the previous generation in 1999.
A spokeswoman for McNally said the choice of Nobilia was “very important”, with the company set to continue with its existing brands and develop them with an expansion plan for the Irish market.
“Nobilia is the perfect fit for the business, it being also a family business, albeit on a very different scale,” she said.
Established over 50 years ago, McNally Living specialises in bespoke German kitchens. Pictured, a McNally Living kitchen interior
“Nobilia is the largest kitchen manufacturer in Europe, and we believe that our new partnership with them will provide a very solid foundation for future growth. And we are very happy that the company will be in very safe hands going forward.”
The McNally spokeswoman said the family would continue to be involved in the business in the coming years, supporting the new owners and the management team. Pat McGrath, managing director since November 2021, will continue to lead the company.
“There are plans to grow the business in both the retail and contract channels,” said the spokeswoman.
“It is too early to tell what that might mean in terms of new jobs – but the future will be about growth.”
The McNally spokeswoman declined to share any financial details about the transaction, adding that it was structured so that Nobilia is a “significant” shareholder.
A McNally spokeswoman said: ‘Nobilia is the perfect fit, it being also a family business, albeit on a very different scale.’ Above, a Nobilia kitchen interior
According to the most recent consolidated accounts for MCN Investment Holdings and its subsidiary companies, the group recorded a turnover of almost €14.7m in 2022, down from nearly €15m the previous year.
MCN’s profit before tax was €47,157, down from just over €630,000 the prior year.
At the end of 2022, MCN and its subsidiaries had net assets of almost €6.25m. The group had 83 employees that year.
Established over 50 years ago, McNally Living specialises in bespoke German kitchens with a showroom in Ballsbridge. McNally Kitchens has a showroom in the M1 Business Park, Balbriggan, Co Dublin.
The McNally group’s Kube business has six locations, including in Dublin’s Balbriggan, Sandyford, Rathgar, and Long Mile Road, as well as Cork and Galway.
Established in 1945, Nobilia trades in around 90 countries and employs 4,523 staff. Over half of the German kitchen giant’s products are exported.
McNally Living managing director Pat McGrath (centre) at the Grant Thornton ESG Awards
The company has four production sites in Germany, producing 8.5 million units a year, according to figures from 2022.
According to Nobilia’s results for 2022, the business said it expected 2023 to be “challenging” for the furnishing industry. It said the development among furniture manufacturers was closely linked to the developments in the construction industry, adding that the projections for that industry looked “rather restrained, at least in Germany.”
Despite the challenges, Nobilia said it believed it was in a “very good position” as the market leader.