​Pepco Group brings in advisers to support Poundland transition to new owners

FRP Advisory has been asked to act as an observer as Poundland has been sold to Gordon Brothers, according to Sky News.

The process will be court-sanctioned and involves store closures as job axes at the value chain. Before the deal was struck, Poundland consisted of over 800 shops in the UK and Ireland with around 16,000 staff.

Sources told the publication that FRP will observe the process as the High Court will sanction a restructuring plan in the final week of August.

The proposed deal will see 68 Poundland shops shut, as well as two distribution centres. In the longer term, more stores are expected to close, which will result in mass job cuts.

When the deal was announced, Poundland managing director Barry Williams said: “It’s no secret that we have much work to do to get Poundland back on track.

“While Poundland remains a strong brand, serving 20 million-plus shoppers each year, our performance for a significant period has fallen short of our high standards and action is needed to enable the business to return to growth.

“It’s sincerely regrettable that this plan includes the closure of stores and distribution centres, but it’s necessary if we’re to achieve our goal of securing the future of thousands of jobs and hundreds of stores.”