Primark London listing could become a reality after AB Foods announced it is reviewing a possible corporate restructure. The UK-listed company is considering separating its retail arm from its food business.
AB Foods operates grocery brands including Kingsmill, Blue Dragon, Jordans, Twinings, and Ryvita. It also manages sugar, ingredients, and agriculture divisions. The group’s CEO, George Weston, said the review could lead to Primark becoming a standalone listed company.
“We would have Primark listed on the London Stock Exchange. Food would also be listed separately,” Weston told reporters. A separate listing could inject new energy into London’s stock market, which has faced a shortage of major floatations in recent years.
Weston described the potential split as a “demerger.” He added that Wittington Investments, the Weston family’s investment vehicle, would retain 58% ownership of both companies. The Weston family ranks in the top 10 of the Sunday Times Rich List with an estimated £17.8 billion fortune.
The CEO explained that the size and complexity of Primark justify a separate leadership structure. He also said the food business could benefit from greater clarity if it operated independently. “I’ve believed for some while that the food company is under-appreciated, and separation could help explain it better,” Weston said. “If the split goes ahead, I would hope to lead the food group.”
Market experts agree the demerger could increase value. Dan Coatsworth of AJ Bell suggested that Primark might command a higher valuation as a standalone entity. Richard Hunter at Interactive Investor noted that the retailer now faces fierce competition from international players such as Shein and Temu. However, AB Foods expects new store openings to drive growth.
Primark opened 23 new stores in the second half of the year. Sales rose 1% year-on-year to £9.5 billion, despite weaker first-half trading. Weston said the company avoided major price increases, except in the US, where tariffs required double-digit hikes.
Primark continues to emphasize value with competitive pricing, strong basics, and sportswear offerings. Yet, the company expects the consumer environment to remain subdued in the year ahead. Meanwhile, sugar sales fell by 10%, while grocery and ingredients divisions stayed largely flat.
Overall, a Primark London listing could mark a major strategic shift for AB Foods and provide a boost to UK investors.
For more updates on this news, follow London Pulse News.
