M&S In Talk With Honk Kong and Macau over Franchise Businesses

M&S In Talk With Honk Kong and Macau over Franchise Businesses

M&S In Talk With Honk Kong and Macau over Franchise Businesses along with their franchise partner Al-Futtaim. The food and clothing retailer said it has begun talks about potential store sales, which Al-Futtaim would continue to operate under the M & S franchise. The talks are expected to take several months to complete. M & S followed a strategic review by M & S last November, in which the company designed plans to close more than 80 stores in the country and abroad, as well as look for joint ventures and franchise associations for operate in fewer wholly-owned markets. Stores in Hong Kong and Macau will continue to operate normally, the company said on its website. Al-Futtaim has been working in partnership with M & S since 1998 and today operates 43 M & S stores in seven markets in the Middle East, Singapore and Malaysia. M & S employees will be kept informed of any developments throughout the process and M & S stores in Hong Kong and Macao will continue to operate normally. In its most recent annual results, the business posted a 15.4 per cent rise in international profit before adjusted items, to £64.4m, as a result of quitting stores in 10 loss-making markets. Revenues were up 10.7 per cent to £1.18bn. Al-Futtaim has worked with the British retailer since it opened its first Dubai store in 1998. It operates 43 stores for M&S across the Middle East, Singapore and Malaysia. Al-Futtaim will shortly be opening the first standalone M&S Food store in the Middle East. M&S international director Paul Friston said: “Al-Futtaim is a key partner to M&S in Asia and the Middle East and we are both committed to putting the customer at the heart of everything we do. With significant scale and retail expertise in the region, we are looking forward to discussing the potential extension of our partnership to Hong Kong and Macau as we continue to grow and develop our business together.” Stephen Rayfield, senior managing director for Al-Futtaim's fashion and lifestyle division, added: “Al-Futtaim looks forward to building on our solid foundations as we continue to enrich our customers' lives and aspirations through the provision of quality products and services in Hong Kong and Macau - these are among Marks & Spencer’s most successful and important international markets.”