Harrods pays $111m dividend to owner Qatar Holding

Payout comes as London luxury department store posts 10% jump in sales - report
Qatar Holding will be the fifth owner of Harrods since its creation in 1840. (Reuters/ Bloomberg Images)
By Andy Sambidge
Sun 20 Oct 2013 02:11 PM

Harrods, the London luxury department store that was taken over by Qatar Holding in 2010, has paid a £68.6m ($111m) dividend to the sovereign wealth fund, it was reported on Sunday.

The payout comes after the Knightsbridge store posted a 1.8 percent rise in pre-tax profit for the year to February, to an all-time high of £92.5m, driven by a 10 percent jump in sales, to a record £765.4m, according to the UK's Sunday Times.

Last month, it was reported that Harrods is set to undertake a multi-million refurbishment as part of the Gulf state’s investment in the iconic brand.

The main focus of the revamp will be the famous escalator, which has been in the store for decades and is believed to have been the first of its kind in the UK.

The new refurbishments will be unveiled on November 4, a Harrods spokesperson said.

Qatar Holding bought the Knightsbridge store in 2010 for a reported £1.5bn ($2.4bn) from Mohamed al-Fayed.

Up until last year, Harrods’ new owners had spent £107.8m ($174m) upgrading the store.

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