WHSmith is in talks to sell its high street stores, more than two centuries after it opened its first shop in London.
The retailer, known for its stationery, books, and newsstands, confirmed on Saturday (25 January) that it is “exploring potential strategic options” for its 500 high street stores, including a potential sale.
In recent years, WH Smith has increasingly focused its efforts on its travel retail business.
The company now operates more than 1,200 stores across airports, train stations, and hospitals in 32 countries. This travel retail arm now accounts for around three-quarters of the group’s revenue and 85% of its trading profit.
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The talks come at a time when the UK high street is facing significant challenges, with rising business costs and a shift towards online shopping leading to a decline in foot traffic.
WHSmith’s high street stores have struggled with consumer sentiment in recent years, with many shoppers viewing the chain as cramped and outdated.
Earlier this month it reported a strong performance in its travel business, with profits up 22% and revenues growing 11%. In contrast, the retailer’s high street division saw a 9% decline in profits, with sales dipping by 4%
Retail consultant Richard Hyman noted that the move to explore a sale of the high street business comes as little surprise, pointing out that many traditional high street retailers, such as Debenhams and Woolworths, have faced similar struggles in adapting to changing shopping habits.
While the business has not confirmed any deal or timeframe, sources say the company is in discussions with several potential buyers, and an agreement could be reached in the coming months.
However, WHSmith cautioned that “there can be no certainty that any agreement will be reached.”
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