Sainsbury’s has agreed to sell Argos to retail investment group Swift Partners for at least £120 million, ending a decade of ownership. The move reflects Sainsbury’s strategy to concentrate on its core food business, while Swift says it will invest in and transform Argos amid intense online competition and weaker consumer spending.

The deal includes Argos standalone shops, concessions in Sainsbury’s supermarkets, logistics operations, insurance and warranty products, a Daventry distribution centre, and sourcing offices in Shanghai and Hong Kong. Sainsbury’s expects £70 million on completion in February 2027, with full separation by February 2029; all 14,000 Argos employees are due to transfer. Sainsbury’s bought Argos in 2016 for £1.4 billion, but the retailer has struggled against lower-cost rivals including Shein and Temu.