Evening Telegraph (First Edition)
Ex-united chief sells on stores
FORMER Dundee United boss Stephen Thompson has sold the convenience store chain named after his late father after he failed to get financial backing.
Eddy’s Food Station shops in Leuchars, Larbert and Greenock have been bought by Dundee Spar wholesaler CJ Lang for an undisclosed fee.
Mr Thompson said a lack of access to finance, energy costs and “little” support for new businesses forced him to sell.
He founded the company in 2021, following in the footsteps of father Eddie, who founded the Morning, Noon & Night group.
At the time he hoped to create 500 jobs and open up to 40 stores within the first five years.
He succeeded his dad as chairman of Dundee United in the wake of his death in 2008 — a position he held until 2018.
A fourth store in Buckhaven has reverted to a Day Today and was not part of the buy-out.
Mr Thompson claimed energy bills rocketed by almost £200,000.
This, along with “little help” from government and an inability to secure finance from banks, forced his hand.
He said: “Firstly I am delighted that all the stores were sold and that all staff retained their jobs.
“The business was started in very challenging times, with the (inflationary) crises kicking in weeks after we opened four stores.
“The energy cost last year was £184,000 more than it should have been and in general there has been little support for new businesses.
“In addition increases in the cost of food hit the business, with margins under pressure.
“The sheer cost of doing business just now and the cost of finance – as no banks would speak to us despite previous history – meant overall it was extremely difficult to make the business work.”
The three stores bought by CJ Lang will become Spars.
Staff at all three shops will be retained, the company confirmed.
Colin Mclean, CEO of CJ Lang & Son Ltd, said: “We are happy to welcome these three convenience stores into the Spar Scotland family, following the sad news of its previous owner recently entering into administration.
“We recognise the challenges facing many convenience store operators at the moment, but we are pleased we have been able to work quickly to secure the future of these stores and the store staff involved.
“This will ensure local jobs are retained and the stores remain open to continue serving their communities.
“Their addition supports our growing presence in Scotland, enabling us to provide customers with an excellent shopping experience.
“We are committed to maintaining the high standards of service customers have come to expect from Spar and we plan to support local initiatives and organisations in surrounding areas.”