What: Stockmann's department stores likely to be sold off from Lindex Group, according to experts.

Why it is important: The potential sale highlights the shift in focus towards more profitable segments within retail conglomerates.

Experts anticipate that Stockmann's department stores will likely be sold off from Lindex Group (formerly Stockmann Group) as part of an ongoing strategic review. The most probable buyer is Nordic Retail Partners, a joint venture between Swiss JC Holding and Finnish Konstsamfundet, which already owns 15% of the group.

The decision to separate the department stores from Lindex, a more profitable Swedish women's fashion chain, is driven by the need to improve overall group performance. Stockmann's department stores have been struggling, while Lindex has been supporting the group's profitability.

Analysts suggest that selling the department stores could increase Lindex Group's value, potentially raising the share price from under 3 euros to around 4 euros. However, the sale price for the department stores is expected to be low due to their unprofitable nature.

The outcome of this strategic review, expected to be announced this year, could lead to the closure of some underperforming department stores, although iconic locations like Helsinki's city center store are likely to remain operational.

Lindex might be selling Stockmann department stores to minority shareholder