Poundland is trialling Pep & Co products in stores as it steps up a drive to enhance its fashion offer.
The value retailer, which was acquired by South African conglomerate Steinhoff in September, has unveiled five Pep & Co branded bays of fashion in its new Nottingham store at Chillwell Retail Park and its Enfield shop.
The offer includes womens, mens and kids clothes.
Speculation that Steinhoff would introduce elements of Pep & Co – the value fashion retailer it launched last year – has been mounting since the Christo Wiese-backed business struck a £610m deal to acquire Poundland.
A Steinhoff spokesman told Retail Week the trial in Poundland has been running for “a few weeks”.
Analysts PeelHunt have even suggested some Poundland stores will be converted to Pep & Co outlets.
The fashion chain, aimed at mothers on a budget, launched in July last year in a blaze of publicity. The 54th store opened in Pontypridd in September, while four more are due to open before Christmas.
It comes as it emerged this week that Poundland boss Kevin O’Byrne is quitting after just four months in the role to join Sainsbury’s.
Andy Bond, the former Asda boss who is overseeing Steinhoff’s European operations, has taken on the day-to-day running of Poundland.
Steinhoff also has discount variety chain – Guess How Much! – whose operations could also be combined with Poundland.