Nottinghamshire Poundland shops face uncertain future after struggling chain is sold for £1
Poundland has 18 stores across Nottinghamshire, including Lower Parliarment Street, pictured.
Nineteen Nottinghamshire outlets of budget high street shop Poundland face an uncertain future after the business was sold for £1.
Its parent company Pepco said the chain had been sold off to US investment firm Gordon Brothers on Thursday morning (June 12).
Poundland has 825 shops across Britain – 19 of them are in Nottinghamshire.
Bosses at Pepco, a Poland-based European discount retail specialist, said a plan for Poundland involving agreements with its creditors would follow.
Stephan Borchert, Pepco Group cheif executive, said: “As part of the transaction, Gordon Brothers, Pepco Group and Poundland have agreed to put forward a restructuring plan, further detail on which is expected to be communicated by Poundland in due course.”
Poundland’s revenue fell by 6.5 per cent to £985 million in the six months to March 31.
Poundland’s chief executive officer Barry Williams, said: “Although recent trading has been challenging, we have built a turnaround plan with a simplified and more focused Poundland at its heart, as we aim to deliver the amazing value our customers expect.
“In due course we’ll share more details of the proposed restructure and turnaround plan. I’d like to thank Pepco for its stewardship of the business. We welcome Gordon Brothers and look forward to working with them as we implement our turnaround plan.”
In a statement Poundland said Gordon Brothers would be providing ‘up to’ £80 million in financing to Poundland to pay for the proposed “restructuring and turnaround of the business after a
period of challenging trading”.
Poundland has six central shops across Nottingham city, plus two in both Bulwell and Mansfield, and one each in Beeston, Chilwell, Long Eaton, Kimberley, Arnold, Hucknall, Worksop, Retford, and Newark.
Pepco said it’s sale of Poundland – for the nominal sum of £1 – was a “strategic move” away from selling everyday products.
Gordon Brothers, based in Boston, US, is a global investment company which specialises in providing re-financing for companies and running corporate turnarounds.
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