Including Amazon acquiring Whole Foods and Sainsbury’s eyeing up Nisa.
The Source rounds up some of the key retail stories of the week.
Amazon has made a surprise swoop for luxury grocer Whole Foods in a deal reportedly worth almost £11 billion. Whole Foods has over 460 stores in the UK, Canada and the US. The deal is expected to be completed in the second half of the year. Amazon already has a seven-strong bricks and mortar book chain.
Sainsbury’s looks set to buy the Nisa chain, with Retail Week reporting the deal values the group at £130 million. Nisa’s 1,400 members operate around 2,500 shops across the UK, with some running small chains under the Nisa Local fascia.
Tesco is to close its Cardiff call centre next February in a move to cut costs at the business. The retailer will consolidate the operations at its Dundee location, which will result in 250 new roles. The Cardiff centre currently employs 1,100 staff.
John Lewis saw total sales dip 1.4% to £78.1 million for the week ending June 17. Fashion sales were down 3% compared to the same week in 2016, however the beauty sub-category rose 7.9%. Perhaps unsurprisingly, warm weather clothing performed well, up 17%. The weather also drove a 55% rise in sales of outdoor living products year on year.
A new study by estate agency Colliers has found that the number of stores which have been empty for over two years has risen by a fifth – around one in 28 – in the year to April. Rental prices for prime retail sites were up 1.8%, the biggest year on year increase since 2008.
Hobby and crafting specialist Hobbycraft saw a decline of 29% in EBITDA to £7.7 million in the year to February 19. This figure is compared to £10.9 million the previous year. The result was due to investment in its online platform, while ‘unfavourable foreign exchange movements’ was also cited.
Sainsbury’s has added healthy food and juice bar Crussh to its portfolio of concession partners. The first Crussh outlet opened in Pimlico earlier this month.
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