Retailer WH Smith to be wiped off UK high streets soon following sale

British books and stationery giant WH Smith will sell 480 retail outlets to Modella Capital, the owner of Hobbycraft, in a deal worth approximately £76m (€91.2m). The Swindon-centred brand, which has been trading since 1792, will subsequently vanish from UK high streets soon. Several stores in shopping centres and retail parks will be acquired as well, although the timeline for the transition is not yet published

The high street business will be renamed TGJones, while the firm will keep the WH Smith brand for its travel business, which operates in railway stations and airports, as well as hospitals. The Post Office counters that are present in several WH Smith outlets will also keep running as usual. 

Modella Capital is a private equity company focusing on consumer and retail businesses. It has already acquired The Original Factory Shop and Hobbycraft. 

Currently, WH Smith has about 5,000 employees and operates over 1,100 stores across the UK.

It also owns digital brands such as greetings card business Funky Pigeon and online stationery retailer Cult Pens. 

The company has also shared that it is considering other strategic options, which include the potential sale of the Funky Pigeon business. 

Modella Capital said that business would function as normal while changes were made to the retail chain, which include additional product ranges. However, no details were revealed on whether layoffs may be expected due to this sale. 

“As our Travel business has grown, our UK High Street business has become a much smaller part of the WHSmith Group. High Street is a good business; it is profitable and cash generative with an experienced and high-performing management team,” Carl Cowling, group CEO of WH Smith, said. 

“However, given our