Private equity firms advance bids for Poundland as sale process accelerates
The sale of high street discounter Poundland has entered its next phase, with several private equity firms and specialist investors tabling indicative bids ahead of the recent deadline.
Interested parties include turnaround specialist Hilco Capital, which recently acquired housewares retailer Lakeland; Endless, known for its investments in struggling retail assets; Alteri Investors, the owner of Bensons for Beds; and Modella Capital, which recently bought WH Smith’s high street stores for £76m.
The sale process, managed by advisory firm Teneo, follows a challenging period for Poundland, which has faced four consecutive quarters of declining sales. Like-for-like sales dropped by 7.3% over Christmas, after operational difficulties emerged from a transition to sourcing clothing and non-food ranges through parent company Pepco.
“It has become clear over the last 12 months that this integration has not delivered for customers or shareholders,” the group admitted.
In parallel, Poundland has undertaken a leadership restructure, cutting 12 director roles—including digital and retail heads—in a bid to streamline operations and accelerate its turnaround. The effort is being led by Managing Director Barry Williams, who returned to the business in January 2025 after previously leading Poundland between 2017 and 2023.
Williams is tasked with repositioning Poundland for future growth, amid rising private equity interest in retail assets with operational upside potential.
All bidders submitted indicative proposals by 25 April, with the sale process now moving into its next stage.