SAINSBURY'S SELLS ARGOS BUSINESS TO SWIFT PARTNERS FOR £120M

Sainsbury's has agreed to sell its Argos business to Swift Partners, a newly established firm, in a deal valued at least £120 million. The transaction will transfer Argos standalone stores, collection points within Sainsbury's shops, logistics infrastructure, pet insurance and product warranty operations to Swift Partners. Sainsbury's will receive at least £120 million in cash proceeds, with a £70 million payment due when the deal completes, expected in February 2027. The supermarket stated that "business as usual" will continue for Argos, which currently operates more than 1,100 collection points.

Swift Partners was established specifically for this acquisition and is backed by retail specialists including former Co-operative Group boss Richard Pennycook, former Morrisons chief operating officer Trevor Strain, and Matt Truman's True Capital investment and advisory firm. The deal encompasses Argos' distribution centre in Daventry and sourcing offices in Shanghai and Hong Kong. Sainsbury's acquired Argos for £1.4 billion in 2016 and subsequently closed hundreds of standalone stores on high streets and in retail parks, replacing many with collection points inside supermarket locations. Argos permanently closed all physical shops and online services in the Republic of Ireland in June 2023.

Simon Roberts, Chief Executive of J Sainsbury plc, stated that Swift brings "retail leadership, operational expertise, technology capability and long-term investment". The sale allows Sainsbury's to focus on its core food business operations. The transaction represents a significant restructuring of the non-food retail operations Sainsbury's acquired a decade ago.