Billionaire Brett Blundy and his longtime business partner Ray Itaoui have more than doubled annual profit at Best & Less, producing a $29 million distribution to the owners.

Best & Less is a discount apparel and homewares retailer with more than 200 stores across Australia. It was founded in 1965. Blundy and Itaoui bought the company in 2023 and now own it jointly.

Blundy is one of the country’s most successful retail investors. He lives in Monaco and is worth approximately $3.6 billion according to the Financial Review Rich List. Best & Less sits inside his BBRC empire which also holds a stake in fashion brand Dissh in Queensland and boutique Hot 8 Yoga studios in California.

Before Blundy and Itaoui arrived, Best & Less was owned by Allegro Funds. Allegro specialises in corporate turnarounds and purchased the retailer in 2019. Allegro later took it public on the ASX in 2021 at $2.16 per share.

Two years later Blundy and Itaoui bought out Allegro’s remaining shares and other stakes at $1.89 a share. The purchase price valued the business at approximately $236 million.

The pair initially aimed to drive growth by upgrading the baby and kids’ product lines to compete more effectively with Cotton On and Seed. In May Blundy also launched Léays which is a new lingerie and sleepwear concept. Léays is structured as a subsidiary underneath the Best & Less group according to corporate filings.

The strategy appears to be working. Net profit for the twelve months to June reached $35 million compared with $17 million a year earlier. Sales also rose to $662.9 million from $625.1 million the previous year.

The stronger results generated a $29 million payout to Blundy and Itaoui which is more than double the $12.1 million paid out in the prior year.

Separately Blundy is also attempting to join the board of Victoria’s Secret after calling for the removal of the company’s chair.

Shares in the US listed lingerie group have fallen heavily over the past twelve months. The stock reached a low of $US14.87 in April.