Is this the beginning of the end for Argos? Sainsbury's could be shutting down and relocating nearly 200 Argos stores across the U.K., BBC News reported. The news comes as the company continues talks about a merger with Home Retail Group.
Argos is owned by Home Retail, but that could very soon change if things go Sainsbury's way.
Home Retail and Sainsbury's have been in talks for a week now, but the company is also in talks to sell its Homebase chain to Wesfarmers of Australia, according to The Guardian. It's too early to tell which company will win out, but Sainsbury's is definitely ready to make some sacrifices.
Sainsbury's isn't getting rid of Argos stores, but as sales fell 0.4 percent over the holiday season, the company is looking for ways to get back to where it once was.
Sainsbury's CEO Mike Coupe vowed that this takeover, and these relocations, would not lead to major jobs losses, according to The Mirror. In fact, Sainsbury's wants to expand its retail market, and keeping Argos stores open would aid in that business.
"It is a very compelling proposition. It would give us a unique business in the UK. Something Amazon can't do," Coupe said in an interview.
