US private equity group KKR has completed a deal to make a "significant investment" in Cheshire retailer The Hut.

A consortium led by KKR has taken a stake in the brand in the Northwich-based company, which owns brands such as Zavvi and I Want One of Those.

It is understood KKR has taken a 20 per cent stake in a deal which values the company at £500m.

The Hut is backed by former Tesco chief executive Sir Terry Leahy and Sir Stuart Rose, who formerly led M&S.

Addleshaw Goddard's Manchester office advised The Hut. Its team was led by corporate finance partner Roger Hart and included managing associate Jamie Partridge.

Hart said: "We have a very close relationship with The Hut Group and it's really pleasing to help them to take another strategic step forward."