Gathered some more informations on this.
Opening in Sainsbury's next week will be a pop up Argos at the front of the store (where the magazines currently are) where you can order an item and it will arrive in Sainsbury's from the main store in town in about 30 or so minutes. I believe online click and collect items can also be sent here.
Then in February, a full Argos store will open in the back of the store where the electrical desk currently sits and all branded general merchandise (TVs, Laptops, iPads, game consoles, kettles, toasters, hoovers etc) will be a part of Argos from then on and will not be sold by Sainsbury's, only Sainsbury's brand stuff will remain, if that makes sense.
Judging by this, the Argos store in town will close in or by February 2017.