WHSmith has confirmed the sale of its UK high street retail business to Modella Capital in a £76 million deal, marking a significant shift as the company focuses exclusively on its global travel retail operations.
The agreement will see around 500 WHSmith stores — which have formed part of the British high street for over 230 years — eventually rebranded as TGJones, with a short transitional period operating under the WHSmith name.
Focus Shifts to Travel Retail
The sale reflects WHSmith’s strategic pivot towards its more profitable travel division, which includes shops located in airports, train stations, and hospitals across 32 countries. This division now accounts for 75% of the group’s revenue and 85% of its trading profit.
While no immediate store closures have been announced as part of the sale, WHSmith had previously revealed plans to close 15 stores in the coming months as part of a broader restructuring of the high street arm.
A Historic Shift
WHSmith opened its first store in 1792, growing to become one of the most recognisable names on the British high street. However, in recent years, declining footfall and changing consumer habits have seen its high street segment shrink in profitability, making up just 15% of the group’s annual trading profit.
Looking Ahead
Cowling added:
“With a clear strategy, a strong balance sheet, and operations in high growth and attractive markets, we are well-positioned to generate substantial growth and value for all stakeholders.”
As WHSmith evolves into a travel-only retailer, the future of its iconic high street presence will now lie in the hands of Modella Capital.
