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A popular retail store’s name will soon vanish from the high street – but it will not be closing altogether.WH Smith has agreed to sell its UK high street chain to Hobbycraft owner Modella Capital in a deal valuing it at £76million, and will eventually rebrand as TGJones.This means that stores such as the one on Lynn’s Norfolk Street will no longer operate under the WH Smith title.
However, reports suggest that the Post Office branch in the store will not disappear.The sale does not include the retailer’s travel locations, such as shops in airports and train stations – nor the WHSmith brand.All the approximately 480 stores and 5,000 staff working for the high street businesses will move under Modella Capital’s ownership as part of the deal. The travel division, which has become the key focus of the group in recent years and also includes shops in hospitals, will not be changing.Group chief executive Carl Cowling said: “As we continue to deliver on our strategic ambition to become the leading global travel retailer, this is a pivotal moment for WHSmith as we become a business exclusively focused on travel. “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.“However, given our rapid international growth, now is the right time for a new owner to take the high street business forward and for the WHSmith leadership team to focus exclusively on our travel business. I wish the High Street team every success.” Meryl Halls, managing director of the Booksellers Association, added: “It is always a moment of sadness when a historic brand leaves the high street, especially when like WHSmith they bring books to communities with few other means to access them.“Through their commitment to selling books and extensive charity work, WHSmith has for centuries served communities around the UK – many of which have lost access to public libraries in recent years.“Alongside continuing our existing relationship with WHSmith Travel, we intend to work with TGJones to continue WHSmith’s legacy of promoting reading by keeping books in their shops, on the high street and in the hands of local readers.“We also encourage the government to see this situation as an indication that further high street investment is essential to the health and longevity of our town centres.“Positive actions such as business rates reform, tenant protection and creative partnerships to reinvigorate our retail and leisure spaces will help keep high streets vibrant, diverse and viable locations for bookshops – from national chains to local independents – to thrive.”
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