Teal Group Holdings, which owns the UK’s largest toy retailer The Entertainer, has announced that its co-founders, the Grant family, will place 100% of their shares into an employee ownership trust (EOT). 

This means that the business will be owned in a trust by its employees, who will benefit from its success, according to the company. The transfer is expected to close by the end of September, following a revaluation of the company’s assets, which includes toyco subsidiaries Early Learning Centre and Addo Play. When completed, The Entertainer’s 1,900 employees will form a new Colleague Advisory Board to influence the business’s strategy and policies. As beneficiaries, employees will also receive tax-free bonuses if the company generates profit at the end of the year. 

Gary Grant (pictured), who co-founded The Entertainer alongside his wife Catherine in 1981, says the decision would ensure the company stays independent and preserves his family’s legacy. “Ensuring our employees have a place in the group’s future is hugely important to us,” he said. 

Grant will step down as executive chairman of Teal after handing the reins to the staff, with his two oldest sons also exiting the company at that time. 

Meanwhile, current Teal Group CEO Andrew Murphy will stay on board to spearhead the growth of The Entertainer and its subsidiaries. The toy retailer operates more than 360 stores worldwide, with 166 in the UK alone. The company also has deals in place with Tesco to place more than 850 branded toy shops in the UK supermarket chain.