Poundland agrees to take 71 Wilko stores

13th September 2023 | Jack Oliver

The owner of Poundland has reached an agreement with Wilko’s administrators PwC to take on the leases of up to 71 stores.

Following the acquisitions, Pepco Group will bring the former Wilko stores under the Poundland brand.

The lease assignments are expected to be completed by early autumn, with the stores set to join Poundland’s 800-plus strong estate and begin trading in the fourth quarter of 2023.

This follows news that all 400 Wilko stores are set to close by early October, after a bid from HMV owner Doug Putman fell through.

Wilko fell into administration in August after a difficult post-Pandemic period saw lower footfalls and a decline in consumer spending due to the cost-of-living crisis. At the time, it employed over 12,500 members of staff.

Poundland said that the Wilko leases it has taken on are largely in areas where it has a “limited presence”.

The discount retailer said it would prioritise recruitment for former Wilko staff when applying for jobs at the new stores, with Andy Bond, executive chairman of Pepco Group, adding that it will be “pleasing” to offer employment to former Wilko colleagues.

The acquisitions comes as Poundland continues to expand, with the retailer opening or relocating eight stores in September alone.

Earlier this month, rival chain B&M acquired over 50 stores from Wilko in a £13m deal, although did not specify which ones.

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