The clothing and food chain has sold one of its key non-UK operations to its longstanding franchise partner in the Asian region, Al-Futtaim, for an undisclosed sum. Marks & Spencer is selling 27 stores that will keep the M&S name under a franchise arrangement, which leaves Dubai-based Al-Futtaim with 72 outlets under the brand across Asia and the Middle East.

The turnaround plan unveiled by M&S chief executive, Steve Rowe, included the shuttering of 53 loss-making outlets overseas in markets including China, France and Belgium, but company-owned stores in Hong Kong, where M&S has operated since 1988, were among those spared. In the wake of the Al-Futtaim deal, the last remaining M&S-owned stores outside the UK are in Ireland and the Czech Republic.

Archie Norman who joined the group as chairman last September, has promised a radical shake-up of the company which, he says, has been "drifting" for 15 years.

see press release