Tesco is preparing to sell Dobbies Garden Centres and its Harris + Hoole coffee shop chain as it bids to dispose of more non-core assets.
The supermarket giant is ready to shed the loss-making businesses from its portfolio as boss Dave Lewis continues to focus on improving the fortunes of its core UK supermarket estate.
According to reports, Tesco has drafted in investment banking adviser Greenhill to work on the sale of Dobbies, which plummeted to a £48.4m loss in the year ending March 1 after writing down the value of its property.
Tesco acquired Dobbies, which now has 35 garden centres across the UK, back in 2008 under the stewardship of then boss Sir Terry Leahy.
Harris + Hoole, which Tesco only acquired full ownership of in February, is also thought to be on the chopping block.
Its Euphorium bakery business is also likely to be closed, Sky News reported, while it is also considering offloading its Giraffe restaurant chain.
The news comes just weeks after Tesco brought the curtain down on its Nutricentre health and wellbeing business.
The retailer has also sold off its Blinkbox streaming service and its South Korean Homeplus business as Lewis concentrates his efforts on building trading momentum within the UK.
A Tesco spokesman said: “We do not comment on rumour and speculation.”
The grocer will come under the spotlight again on Wednesday when it unveils its full-year results.
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Tesco prepares to sell off Dobbies Garden Centres and Harris + Hoole