Poundland owner releases £10m in bid to secure rescue deal
The owner of Poundland, Gordon Brothers, has released £10m of the retailer’s cash in a bid to secure more time for a rescue deal.
The funds – which were released on Tuesday – will be used to pay the embattled retailer’s suppliers.
The decision to release funds follows increasing pressure on Gordon Brothers after the investment firm restricted Poundland’s access to cash and credit facilities, resulting in the discounter unable to order new stock ahead of the Christmas trading period.
BBC News had previously reported that the group had frozen around £50m of Poundland’s assets, preventing the retailer from stocking its shelves at around 600 stores.
The £10m of released funds does not guarantee that the retailer will avoid administration.
Poundland previously filed a notice of intention to appoint administrators, which is due to expire on Thursday.
Poundland has been under pressure for many months. In 2025, the retailer avoided collapsing into administration after its restructuring plan was approved by the High Court, and earlier this year the owner of TGJones emerged as a potential buyer for Poundland.
More recently, Irish property investor Martin Property Group is understood to to be interested in acquiring the business as a going concern, while Xyra Group Holdings has emerged as a frontrunner to take over the retailer due to its offer to repay a larger portion of a £30m shareholder loan upfront.