Australian retailer Gowing Brothers has announced that it is to separate its investment business from its retail business. The retail business will be floated on the Australian stock exchange as Gowing Retail Ltd.

Gowing plans to retain a "substantial interest" in the retail business following flotation, which is planned to take place prior to the end of this year.

Managing director John Gowing said: "We believe that following separation of our retail operations from our investment activities, the two companies will be better placed to grow and improve their performance under their dedicated management teams."

Expansion of the retail business is planned to take place over the next five years, with additional stores to open within Australia.