WH Smith Mulls Selling High Street Stores

WH Smith PLC (Swindon, U.K.) has confirmed that it is exploring potential strategic options its High Street business, which consists mostly of roughly 520 storefronts on major business thoroughfares. One possible option for the unit – which the retailer described as in a press release as “profitable and cash generative,” is a possible sale.

“Over the past decade, WHSmith has become a focused global travel retailer,” the company’s statement said. “The Group’s Travel business has more than 1200 stores across 32 countries, and three-quarters of the Group’s revenue and 85% of its trading profit comes from the Travel business.”

As for the High Street business, “There can be no certainty that any agreement will be reached and further updates will be provided as and when appropriate,” the retailer said.

According to the company’s website, the first of its high street stores opened more than 230 years ago, operating as a news vendor.

In its coverage of the news, the BBC quoted retail consultant Richard Hyman as saying word of the possible sale “comes as no surprise,” as WH Smith’s high street stores had been “underperforming for many years” as being more of a generalist retailer has become increasingly difficult. Hyman also noted that WH Smith is not alone in struggling, pointing at the demise of other big high street retail names in the U.K., such as Debenhams and Woolworths.