Lancaster WH Smith to be renamed after £76m sale of UK stores

A familiar name from the Lancaster high street is set to disappear following the sale of WH Smith stores across the UK.

More than 480 stores including the Market Street shop have been sold to specialist retail and consumer investment firm, Modella Capital, in a £76m deal.

WH Smith Lancaster is expected to be renamed TGJones in several months' time.

The iconic newspaper, magazine, toy, stationery and book retailer opened its first shop in London in 1792, and has been on Market Street in Lancaster for decades.

The deal covers WH Smith shops on high streets, shopping centres and retail parks, but not airports, hospitals, railway stations and motorway service areas.

Beyond Radio asked Modella Capital when the name change was likely to take effect.

A spokesperson said: "As a key condition of the acquisition from WH Smith PLC, there will be a period of separation from the parent company, which may last for several months.

"This will include, as just one example, a decoupling of the complex IT systems.

"We will be working with the management team during this time to develop and agree the future trading strategy; and will be in a position to share more information after this period."

The TGJones stores will keep the same products and services, including the Post Office and Toys 'R' Us inside the Lancaster shop.

“We are delighted to have been the successful bidder for one of the UK’s most iconic retail businesses," said a Modella Capital spokesperson.

"WH Smith 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 one 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.

“This very welcome addition to our portfolio follows a number of recent acquisitions, including Hobbycraft, Create & Craft, Crafter’s Companion and The Original Factory Shop.

"Modella Capital now owns over 800 stores under its various brands, employing many thousands of dedicated colleagues, and we are thrilled to welcome the TGJones team to the Modella family.”

Sean Toal, CEO of the new TGJones business, 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.”

The WH Smith premises on Market Street has previously been home to a cinema and a bingo hall.