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Primark global expansion and strategic shifts

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2026-09-10 10:08 UTC → 2026-09-10 13:08 UTC · added ~~removed~~

Primark is undergoing significant physical and strategic expansion. The retailer recently reached a milestone by opening its 500th global store in Pompei, Italy, as part of an aggressive European growth strategy that includes investments in Romania and Portugal. Following this physical expansion, the company announced a major strategic shift by planning to launch home delivery services in across Great ~~Britain. To facilitate this transition~~ Britain, including England, Scotland, and Wales. This move marks a departure from its traditional “store-led” ~~model,~~ model and its historical resistance to direct-to-consumer e-commerce. To facilitate this transition, parent company Associated British Foods (ABF) has acquired a highly automated fulfillment center in Sheffield from the Debenhams Group for approximately £90 million. ~~In addition to the UK e-commerce move,~~ While Primark continues to grow its Italian presence with a new €8 million investment in a store at the Parma Promenade shopping ~~center.~~ center, the company faces some headwinds. Like-for-like sales are expected to decline by approximately 2.6% to 3% for the financial year, though management aims to offset this through new digital capabilities and the expansion of its click-and-collect service. Meanwhile, ~~Associated British Foods~~ ABF is progressing with plans to demerge Primark from its food and sugar operations, a process expected to be completed by ~~late~~ December 2027. This demerger comes as the sugar business faces projected operating losses between £25 million and £60 million due to high energy costs and low European prices.

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