After forming in 1792, WHSmith has been sold to Modella Capital – the company that owns Hobbycraft – and the move will see the high street chain undergo what’s been dubbed a “daft” name change
British shoppers have expressed their confusion on social media after an iconic high street shop announced it is to change its name after more than 230 years.
In a deal announced on Friday (March 28), WHSmith agreed to sell its stores in a £76 million deal to Modella Capital, who also owns Hobbycraft. The move will see WHSmith – founded by Henry Walton Smith and his wife Anna in 1792 – rebranded as TGJones.
The chain currently operates from around 480 branches in the UK, employing 5,000 members of staff. WHSmith shops in airports and railway stations won’t be affected, however.
Responding to the news, one saddened X user admitted: “I am absolutely gutted about WHSmith. It was the place I shopped as a kid. My first paid job. My first management job.
“The company was kind and compassionate when my mother passed away. I played football for the store team. So many happy memories. The name should stay!”
A second concurred: “Once one of my favourite shops – definitely part of my childhood – so feeling even older than usual. But why the daft name change?”
A third X user shared: “Sad to read the news today that WHSmith will disappear from our high streets after an agreed sale… end of era. I have many found memories of buying my Jam singles from the record department in Southsea on Saturdays in the 80s.”
A fourth person added: “WHSmith. What a sad day. The management has been running it down for years. From being a pleasant place to be in it became a self-service, pile it high and sell it cheap drab environment. What a sad day.”
Whilst a fifth hit out at the move, penning: “Utter madness to use a fake and made up name – TGJones. How much did a marketing company charge for this insane advice?
“The name ‘TGJones’ was selected by Modella Capital to evoke a familiar, family-oriented feel maintaining the sense of a family business. WHSmith. Really.”
WH Smith confirmed in a statement: “All stores, colleagues, assets and liabilities of the High Street business will move under Modella Capital’s ownership as part of the Transaction. Under this new ownership, the business will be led by Sean Toal, currently CEO of the High Street business. The High Street business will operate for a short transitional period under the WHSmith brand whilst the business rebrands as TGJones.”
Carl Cowling, WHSmith CEO, added: “As we continue to deliver on our strategic ambition to become the leading global travel retailer, this is a pivotal moment for WHSmith as we become a business exclusively focused on travel.
“We have a highly successful travel business, operating in fast growing markets in 32 countries and we are constantly innovating to deliver strong returns and meet our customers’ and partners’ needs.
“Our travel business currently accounts for around 75% of the group’s revenue and 85% of its trading profit. With the ongoing strength in our UK travel division, and the scale of the growth opportunities in both North America and the rest of the world, we are in our strongest ever position to deliver enhanced growth as we move forward as a pure play travel retailer.”
Mr Cowling continued: “As our Travel business has grown, our UK high street business has become a much smaller part of the WHSmith Group. High street is a good business; it is profitable and cash generative with an experienced and high-performing management team.
“However, given our rapid international growth, now is the right time for a new owner to take the high street business forward and for the WHSmith leadership team to focus exclusively on our travel business.
“I wish the high street team every success. As we look forward as a simplified, travel-focused group, I am excited about the Group’s future prospects. With a clear strategy, a strong balance sheet, and operations in high growth and attractive markets, we are well-positioned to generate substantial growth and value for all stakeholders.”
