On the day that Primark announced it will begin home delivery of ecommerce orders, Debenhams has sold its Sheffield distribution centre to the discounter.

In a £90m cash deal, Debenhams has sold the automation in the DC and reassigned the lease to Primark.

Debenhams Group has also entered an agreement with a global 3PL to enable it to fulfil its stocked product efficiently. It will also allow the group to scale its Delivered by Debenhams fulfilment proposition beyond fashion.

In July, Debenhams credited its marketplace model for continued sales growth.

“Our platform model and diversified product assortment enables us to pivot quickly and capitalise on consumer demand,” explained Dan Finley, chief executive Debenhams.

Boohoo Group changed its corporate name to Debenhams Group in 2025 as it placed the former department store brand at the centre of its strategy.

The business acquired Debenhams’ brand and online operations out of administration for £55m in 2021, but did not take on its physical store estate.

The group has increasingly transformed Debenhams into an online marketplace, allowing third-party brands to sell through its platform without the group taking on the same level of stock risk associated with a traditional retail model.

While, Primark’s parent company Associated British Foods said the retailer’s growing “digital maturity”, alongside the success of its Click & Collect service and changes in the online market, meant there was now an opportunity for “profitable growth through the home delivery channel”.

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