DFS founder Lord Kirkham gave up the reins at the UK’s biggest sofa retailer today after selling up to private equity firm Advent International.

Lord Kirkham will step down as executive chairman of DFS more than 40 years after setting up the firm in a former billiard hall in Doncaster. DFS now has 74 stores and more than 2,600 staff.

The value of the deal was undisclosed although the former Conservative Party treasurer put DFS up for sale with a reported £500 million price-tag.

Lord Kirkham floated the business in 1993 before taking it private again in 2004 for £507 million. He will be succeeded as chairman by former Alliance Boots chief executive and Advent partner Richard Baker.

The sale comes as the 65-year-old founder approaches retirement with no family successor in line to take over the running of the business.

Although Lord Kirkham has given up his equity stake in DFS, he retains a financial interest in the firm through loan notes to Advent.

The private equity firm adds the sofa chain to its retail portfolio, which includes discount chain Poundland. It also invested in clothing retailer Fat Face before selling in 2007.

DFS has weathered the recession while rivals such as SCS Upholstery and Land of Leather have fallen by the wayside.

"The company’s relative size and reputation as market leader has allowed it to perform well during the downturn," Advent director Andy Dawson said.

Retail specialist Advent is likely to restart a store expansion programme which has been largely dormant since the group returned to private hands six years ago.

Lord Kirkham said: "Their plans to expand DFS will continue to offer great career opportunities for everyone."

As well as its store base, the group has three manufacturing centres for its sofas at Carcroft in Yorkshire, Long Eaton in Nottinghamshire and Alfreton in Derbyshire.