Ruben Fried, the co-founder of the Spotlight chain of fabric, manchester and craft stores, has died at the age of 63 after a long battle with cancer.
Fried and his brother Morry Fraid (they say the different surnames was the result of a teacher’s spelling mistake during their school years) started out selling fabric at Melbourne’s Queen Victoria Market before opening their first store in the suburb of Malvern in 1973.
Over the next three decades the chain expanded quickly, branching out from its haberdashery heritage to become a sort of do-it-yourself destination for craft lovers. Manchester, soft furnishings and party supplies have also been added to the range.
The company has more than 100 stores across Australia, New Zealand and in Singapore and Hong Kong, and annual revenue of around $800 million. Freid and Fraid were valued at $695 million on BRW’s Rich 200 list in 2008.
Despite their rag trade heritage, in recent years Fried and his brother branched out into the outdoor equipment business, launching a chain of camping and sporting goods stores called Anaconda. There are now 18 stores in the chain and revenue is believed to be over $80 million.
Rumours began circulating last year that the brothers were interested in selling out of the business, with investment banks reportedly invited to pitch sale options. But a sale never eventuated and seven new Spotlight stores were opened in the second half of 2008.
Spotlight hit the headlines in 2006 when it reportedly used the Howard government’s WorkChoices legislation to offer new employees an extra 2c an hour in exchange for giving up certain penalty rates. Labor used the controversy to commit to abolishing Australian Workplace Agreements.
Fried is survived by his wife Vivienne, three children and seven grandchildren.
James was the editor and publisher of SmartCompany and LeadingCompany for five years. He is now the Australian Financial Review‘s companies & markets editor, and a former BRW editor.
