Sainsbury’s has agreed to sell Argos to newly formed company Swift Partners in a deal worth at least £120 million as the supermarket giant sharpens its focus on its core food business. The retailer announced that the transaction is expected to complete in February 2027, with the full separation of the Argos business due to be finalised by February 2029. Sainsbury’s said the sale forms part of its long-term strategy to concentrate investment and resources on growing its grocery operations while allowing Argos to develop under new ownership.

Argos to Continue Trading

Customers are unlikely to see any immediate changes, with Argos continuing to operate through its existing network during the transition period. The retailer confirmed that Argos will continue trading through:

• Standalone Argos stores.
• Argos outlets inside Sainsbury’s supermarkets.
• Online ordering and home delivery.
• Click-and-collect locations.

Sainsbury’s also said the sale is expected to have a broadly neutral impact on its underlying operating profit.

Focus on Food Business

Simon Roberts, Chief Executive of J Sainsbury plc, said the agreement would enable the company to concentrate on its core strengths. He said the sale would allow Sainsbury’s to direct more of its investment towards its food business while ensuring Argos has the opportunity to continue developing under new ownership.

Swift Partners Plans Investment

Richard Pennycook, representing Swift Partners, said the company intends to invest in the Argos brand and build on its established reputation as one of the UK’s leading digital retailers. He said Swift Partners plans to strengthen Argos’ multichannel retail model while supporting future growth across its online and store operations.

Transition Over Two Years

The deal will see Argos operate under a phased transition lasting around two years following completion. Sainsbury’s said customers should continue to experience the same services throughout the process, with no immediate changes expected to stores, online shopping or collection services. The £120 million agreement marks one of the biggest changes to the UK retail landscape in recent years, ending Argos’ ownership under Sainsbury’s after almost a decade as the supermarket group focuses on expanding its grocery business.