Fortress Investment Group is preparing to sell Majestic Wine nearly seven years after acquiring the UK’s largest specialist wine retailer, with a formal auction unlikely before early 2027.

Sky News reported that the private equity firm is in the early stages of planning a disposal, with Rothschild lined up to oversee the process. Sources told the outlet that while preparatory work is under way, a full sale process is not expected to begin until early next year, and the target valuation has not been disclosed.

Majestic operates more than 200 stores across the UK and Jersey and employs over 1,000 staff, making it the country’s largest specialist wine retailer. Fortress acquired the business in 2019 for £95m, separating it from Naked Wines, which remains listed on AIM with a market capitalisation of less than £45m.

People close to Fortress told Sky News that the retailer has undergone a significant transformation since the acquisition, including store expansion, a broader product range and a strengthened online offering. More than 20 new stores have opened over the period, with further sites planned.

The company has also pursued acquisitions to diversify beyond its core retail base. It bought Vagabond Wines two years ago for an undisclosed sum and acquired Enotria last year, bolstering its presence in the commercial market and helping position it as one of the UK’s largest wine and spirits suppliers.

Majestic said its commercial growth and dealmaking supported its strongest Christmas trading performance to date, with total sales rising 0.9 per cent in the five weeks to 29 December. The retailer attributed this to momentum across both retail and trade channels.

In its most recent annual update, Majestic warned that “the economic environment became more challenging” in the 12 months to 31 March 2025, citing weaker consumer confidence linked to cost-of-living pressures, tax uncertainty and higher mortgage rates. The company also said the UK’s “new and highly complex” alcohol duty regime and rising employment costs, including increases to the National Minimum Wage, were weighing on operations.

Any disposal would come at a time when investors remain cautious about consumer-facing businesses, particularly those reliant on physical retail estates. The planned sale will test appetite for a business that has expanded its footprint while contending with cost inflation and uneven demand.

Fortress declined to comment on the potential transaction.

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