Hornby sells off Scalextric

[Newportnobby]

For anyone who has not heard, Hornby have sold the model racing car side for £20million, which will help pay off debts and maybe leave something for investment in the model railway side of things

https://www.telegraph.co.uk/business/2026/02/27/hornby-sells-off-scalextric-60-years-purbeck-capital/

[Roy L S]

For anyone who has not heard, Hornby have sold the model racing car side for £20million, which will help pay off debts and maybe leave something for investment in the model railway side of things

https://www.telegraph.co.uk/business/2026/02/27/hornby-sells-off-scalextric-60-years-purbeck-capital/

From what I have read only £8.5m is to be paid up front with the rest paid over an undetermined period from "available cashflow". Hornby has a lot of debt and has had to roll over at least some of it that was due to be repaid, so will at least some of this cash generated actually go to pay down debt?

The details of the deal seem fairly complex, and Hornby will from what I have read still have some involvement in the Scalextric brand. I am sure greater minds than mine involved have decided this is best for Hornby, but I can't help but reflect that selling off profitable assets to generate cash doesn't feel all that sustainable if underlying profitability of the Group as a whole is in a more challenging place 

Roy

[middlefour]

For anyone who has not heard, Hornby have sold the model racing car side for £20million, which will help pay off debts and maybe leave something for investment in the model railway side of things

https://www.telegraph.co.uk/business/2026/02/27/hornby-sells-off-scalextric-60-years-purbeck-capital/

From what I have read only £8.5m is to be paid up front with the rest paid over an undetermined period from "available cashflow". Hornby has a lot of debt and has had to roll over at least some of it that was due to be repaid, so will at least some of this cash generated actually go to pay down debt?

The details of the deal seem fairly complex, and Hornby will from what I have read still have some involvement in the Scalextric brand. I am sure greater minds than mine involved have decided this is best for Hornby, but I can't help but reflect that selling off profitable assets to generate cash doesn't feel all that sustainable if underlying profitability of the Group as a whole is in a more challenging place 

Roy

I agree with Roy, selling off a profitable asset smacks at desperation to me. Setting up the TT range has cost them a lot and talking to the owner of the model shop I use its not selling anything like what Hornby hoped for.