Hornby has agreed to sell its iconic slot car brand, Scalextric, for £20 million in a move aimed at strengthening its finances and concentrating on its core modelling business. The Margate-based company struck a deal with family-owned investment firm Purbeck Capital Partners, which will acquire Scalextric and its intellectual property through a newly formed holding company, Scalextric Motorsports.
The deal, which includes a combination of upfront and deferred payments, will allow Hornby to reduce debt and reinvest in its remaining portfolio, including Airfix and model railway operations. Hornby counts Mike Ashley among its backers.
Scalextric, introduced in 1957 by inventor Fred Francis, became a fixture in British households, enabling families to race miniature cars around electric tracks. Production later moved to Hornby’s Margate factory, cementing the brand as a symbol of hands-on motorsport fun for generations.
Mark Brown, who previously led US spirits company Sazerac, which owns brands such as Southern Comfort and Fireball, described the acquisition as “an honour and thrill.” He called Scalextric “a business that has brought families together for nearly seven decades” and said Purbeck aims to maintain its legacy while exploring opportunities to expand into new areas of motorsport.
Brown noted that Scalextric has the potential to promote physical play and hand-eye coordination at a time when families increasingly seek alternatives to screen-based entertainment. Under the new arrangement, he will also support Hornby with its broader strategic transformation plans, helping to create a group structure where individual brands can operate more independently and profitably.
The sale reflects Hornby’s response to a challenging period for the traditional toy sector, which has faced rising input costs, shifting consumer habits, and increased competition from digital entertainment. By divesting one of its most recognisable names, the company hopes to stabilise its finances and focus on its core modelling brands, strengthening its balance sheet for future growth.
The transaction marks a significant chapter for Scalextric, which will now operate under Purbeck’s family-owned ownership, while Hornby, approaching a century in business, refocuses on its heritage brands in an evolving market.
