Carpetright is to buy smaller rival Storey Carpets for up to£19.5 million in cash and shares.
Storeys, based in the northeast of England, trades from 30 outlets and its sales reached£32.8 million in the year to March 3 last year.
Storeys will sell for an initial price of£18.5 million, but a potential extra£1 million could be added to the deal.
Peckham added that Carperight European chief executive John Kitching will be appointed chief executive of Storeys. He will work with the existing management team, including Simon Heptinstall, grandson of the original founder.
Carpetright operates from 510 stores in the UK and Ireland and 109 stores across Europe.