Jaycar has shelved its plan for a sale.
The group had hired Barrenjoey in a quest to find a buyer and launched a strategic review.
The company says it now plans to retain the business under its current ownership structure.
“Over the last six months the Jaycar Group has conducted an extensive and detailed review of all aspects of the business and have reviewed the strategic plans for the future.
“As a result of this work the board has decided that there will be no changes to the current ownership of the Jaycar Group or its strategic direction,” Jaycar said in a statement.
Jaycar, which deals in electronic components and related products for electronics enthusiasts, generates about $60m of annual earnings before interest, tax, depreciation and amortisation.
It has more than 110 stores across Australia and New Zealand, and also sells products online in Britain and the US.
A price of about $500m was expected.
The business was founded in 1981 when former Dick Smith employee, the late Gary Johnston, bought a company previously known as John Carr & Co.
JB Hi-Fi and Quadrant Private Equity were believed to be among the groups that initially looked at the business, along with Harvey Norman and Super Retail Group.
First round bids were due earlier this month in a contest that was also thought to have attracted parties like CPE Capital and BGH Capital.
Yet consumer companies are currently facing headwinds from rising interest rates and the family is thought to be in no rush to sell.
Jaycar Group managing director Michael Newsom said Jaycar was in a very sound financial position with a strong management team which would ensure the group continued to grow and further enhance Mr Johnston’s legacy.
“We will shortly be establishing several new business growth initiatives including the launch of our new digital commerce strategy, the opening of a new warehouse in Brisbane and the opening of several new Jaycar and RTM stores,” he said.
Mr Newsom said the group’s new warehouse at Eastern Creek, Sydney was now fully operational following the installation of the new Swisslog automated systems which would further support its growing operations.
“We will continue to enhance the systems at Eastern Creek and have recently committed further capital to expand the warehouse’s capacity.
“The group’s retail and wholesale operations of our business continue to perform well as they recover from Covid impacts over the last two years.”
HMC moves in on Healthscope opportunity
The listed real estate group says all options are on the table for ensuring its major hospital tenant keeps trading.
Private equity firms not interested in Domain
The $1.7bn Domain Group is said to have been shopped to private equity firms far and wide to test their interest in taking a stake in the business. None appear keen, sources say.