US home furnishings group Hooker Furnishings Corporation has announced it has entered into a definitive agreement to sell its Pulaski Furniture and Samuel Lawrence Furniture casegoods brands to Magnussen Home Furnishings Inc.
Pursuant to the terms of the asset purchase agreement, an estimated purchase price will be determined and paid at closing based upon the net book value of the assets being sold in the transaction.
As of 2 November 2025, the Company’s fiscal third quarter-end, the currently estimated purchase price is approximately $4.8 million subject to final adjustment to closing values, pursuant to the terms of the asset purchase agreement.
The Company will also shed approximately $4.8 million in Home Meridian showroom lease liabilities and related expenses, as Magnussen will assume the lease of HMI’s High Point showroom.
“Today’s announcement is a major step in our multi-year effort to streamline our portfolio and strengthen profitability by sharpening our focus on brands that generate consistent earnings,” said Jeremy Hoff, CEO of Hooker Furnishings.
“We are excited to move forward as a nimbler business with an efficient cost structure and clear growth priorities. We have promising growth opportunities on the horizon following the launch last month of our Margaritaville licensed collection. Together with our remaining portfolio and ongoing cost reductions of over $25 million, we are more confident than ever that we are well-positioned to enhance shareholder value.”
The Company will retain the Samuel Lawrence Hospitality brand, which is expected to become part of its “All other” segment. The transaction is subject to customary closing conditions, including third party consents, and is currently expected to close by mid-December 2025.
In connection with the transaction, the Company expects to record $5 to $6 million in non-cash impairment charges, net of expected lease gains upon termination. These impairment charges are primarily related to the write down of HMI intangibles and fixed assets.
