Wilko store rescue deals could collapse as bidders renegotiate
Rescue deals for a number of former of Wilko stores could fall through as potential buyers look to renegotiate more favourable terms.
Despite agreeing to take a total of over 100 Wilko stores, B&M and Poundland are said to still be in talks with landlords, The Times has reported.
B&M, which had agreed to take on 51 Wilko stores, has reportedly been accused of delaying the process to set up new rent and lease arrangements with more preferable terms.
Poundland is also said to be in talks to line up back-to-back rent deals on 71 Wilko stores. The retailer said on Tuesday that it had taken over 20 former Wilko stores, with 10 set to open later this week.
Sources have warned that the acquisition deals could fall through, resulting in more closures and job losses as well as smaller returns for creditors.
Last week it was revealed that some of Wilko’s creditors could recover as little as 4p to the pound of the money they are owed.
Wilko fell into administration in August after a difficult post-Pandemic period.
The Range agreed to take control of Wilko’s brand and intellectual property, but all stores are set to close by October.