AB Foods Considering Primark Spin-Off

3 months ago

Louise Moon

"AB Foods then is considering separating Primark from the rest of the business. It was always quite strange. The business really divided between two very different business lines. It's been long discussed by a lot of analysts that cover the company and this is being seen as quite a positive this morning. There's one interesting quote from one of the Barclays analysts saying they've been fans of pure plays and have advocated for a split for quite a long time."

AB Foods is evaluating a spin-off of Primark, a move that many analysts consider positive because Primark accounts for the majority of the company's profits and could achieve a cleaner valuation independently against retail peers.

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