The Spar Group has confirmed it is in exclusive talks with a UK business regarding the sale of Appleby Westward Group (AWG), its wholesaler in south-west England.

Based in Saltash, Cornwall, AWG operates as Spar’s retail distribution centre in the region and has over 300 retail stores, of which 134 are owned stores employing over 1,700 people.

The Spar Group, based in South Africa, holds Spar licences in four territories: South Africa, Ireland (including South West England), Switzerland and Poland.

In a market update, Spar said it is negotiating with a company that has “extensive experience” in European food retail and distribution.

The group added it seeks partners whose aims align with the growth ambitions of local management teams and retailer partners, ensuring “continuity for employees, suppliers, and customers”.

Leading retailer calls for new Appleby Westward Group owners to maintain flexibility for stores

Judith Smitham, who recently sold her Spar and Post Office store in Trelander, Cornwall after 24 years but still runs The Old Dairy – Pydar Stores under the Spar banner, told Better Retailing she hopes the incoming company will allow ‘flexibility in purchasing’ to support her business growth.”

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“Most stores, especially if you’re in an area where local is important—Cornwall does have a lot of local suppliers—there needs to be freedom to purchase things that are relevant to your store,” she said.

“If they can appreciate that and allow us a bit of wiggle room to stock lines not necessarily coming from their warehouse, it would be great.”

Smitham added she would be wary of the introduction of a “big delivery charge”, calling it “challenging in the current climate”.

“Some other retailers do that, and Spar is quite unique in that they don’t charge a delivery charge,” she said. “If it came that there was a big delivery charge, that would be straight off the bottom line and not very welcome.”

She also urged the incoming company to “think logistically” by consolidating existing stores rather than “adding stores to the mix”, and to ensure company-owned outlets maintain the same high standards as “well-run independents”.

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