Poundland owner exploring sale just over a year after purchase - report

(Sharecast News) - The owner of Poundland is reportedly exploring a sale of the discount retailer just over a year after buying it in a deal which resulted in the closure of as many as 200 stores.

According to Sky News, Gordon Brothers is in talks with advisers about launching an auction process for Poundland, which employs about 12,000 people across Britain.

Industry sources told Sky on Tuesday that Gordon Brothers had yet to make a final decision about a sale, but was likely to proceed with a process. Advisers are expected to be appointed to oversee a prospective deal within days.

Poundland now trades from roughly 600 shops, even after swingeing cuts implemented last year through a court-sanctioned restructuring plan.

Sky said retail executives suggested that bidders were likely to include other turnaround funds, private equity firms or other industry players. The chain's performance is understood to have stabilised in recent months, with Poundland expected to issue a trading update in the coming days.

Gordon Brothers bought the discounter in July 2025 from Pepco Group for �1. It has since appointed an experienced finance chief, Shaun Wills, who held the same role at fashion retailer Superdry.

Responding to an enquiry from Sky News, a Poundland spokesman said: "We've made very significant progress over the past year with a recovery plan that's created simpler, better value for customers centred around thousands of items back at our iconic £1 price point."

He declined to comment on the talks with advisers or the possibility of a new sale process.

Gordon Brothers, which also owns the LK Bennett and Radley fashion brands, did not respond to a request for comment from Sky.

Sky said it was unclear why Poundland's new owner was keen on such a swift exit from its investment if the business had begun to improve its performance.