WH Smith could lose half of high-street stores after sale

Half of WH Smith's 500 high street stores could be closed by any new owner, industry experts say, raising the prospect of sweeping job losses at the ailing retailer.

- Sarah Butler

Predictions for the eventual size of the chain, which employs about 5,000 people in its high street shops, are for no more than 250 stores. Offers for the group are expected in the next few weeks, with a deal completed by early May.

WH Smith is in talks with potential bidders including the private equity groups Hilco and Alteri, the Hobbycraft owner, Modella Capital, and the HMV owner, Doug Putman, as it aims to focus on its fast-expanding travel business, which is opening outlets overseas as well as in UK stations, airports and hospitals.

They are expected to pay as much as £100m, with assets including the Richard & Judy Bookclub brand, 200 sites that include a large post office, and the rights to distribute Toys R Us products in the UK.