Private equity firm Modella Capital has laid out its plans for the WHSmith high street business, which was acquired in a £76m deal.
Announced this morning (March 28), Modella has taken on around 480 WHSmith high street stores and will soon rebrand as TGJones.
The firm revealed it will keep the same products and services seen in the high street stores, including the Post Office and Toys R Us.
While it will trade as normal, Modella will work with the management team to “define and execute” a strategy for the future to introduce new ranges and other categories.
A Modella spokesperson said: “We are delighted to have been the successful bidder for one of the UK’s most iconic retail businesses.
“WHSmith stores are present in prime locations across many towns and cities across the country, and for more than two centuries have been an important feature in the UK retail landscape.
“Today, over 1 million customers visit these stores every week. Modella Capital believes strongly in the future of the high street, and we are delighted to have the opportunity to take a heritage brand and develop it further in the coming years.
“TGJones feels like a worthy successor to the WHSmith brand. Jones carries the same sense of family and reflects these stores being at the heart of everyone’s high street.
“There will be a handover period in the immediate term, and it is very much business as usual whilst we work closely with the management team to define and execute a strategy to introduce new ranges and other offerings in the future.”
TGJones chief executive Sean Toal added: “Selling the high street business has been a significant milestone for the WHSmith Group, and I am delighted that we have agreed a sale with Modella Capital who, I know, will be supportive new owners.
“I’m incredibly proud of everything we’ve achieved as a high street team and this next chapter presents exciting opportunities for growth, innovation, and continued success for the business and our talented colleagues.
“I have every confidence that under Modella’s leadership, the business will go from strength to strength, and I look forward to all that we can achieve together in the future.”
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