It was reported in the Sunday Times that Marks & Spencer have explored the possibility of splitting its business in two.
The board are said to have come to the conclusion that the split would be achievable, but then decided that the general merchandise division would not be attractive to investors on its own.
The proposed demerger came during a period of steady food performance with clothing sales declining. This week’s results are expected to show a decline of 2% in like-for-like food sales, and a 1.2% drop in clothing. This comes as a result of higher grocery competition from competitors such as Aldi, Lidl and the Co-op.
