Poundland has filed a second notice to appoint administrators, extending the statutory protection that allows the retailer to continue trading while it seeks a rescue deal for its roughly 600 UK stores.
The high street chain, which employs around 12,000 people, first filed for administration earlier this month. The new notice gives the business an additional 10 working days of breathing space from creditors to secure a potential rescue.
Sale process continues
The move follows the rejection by owner Gordon Brothers of a takeover offer from Irish real estate firm Martin Property Group, which management had named as their preferred bidder last month. Gordon Brothers, which bought Poundland last year for £1, launched a sale process for the retailer at the start of September.
In a statement, Poundland's board said: "Over the past two weeks, Poundland has been operating under the statutory protection of a Notice of Intention (NOI) to appoint Administrators. Amid an ongoing sale process, and with funding agreed to enable the business to continue trading during this period, the Board of Poundland has today resolved to make an application for a second NOI with a view to identifying the best available prospects for shareholders, creditors and our people."
Stores remain open
The board confirmed that the new notice extends the current protections over the business for a further 10 working days. It added: "Our stores remain open as usual during this period, and we thank our colleagues, suppliers and customers for their incredible and continued support."
The retailer continues to trade across its UK estate while the sale process remains ongoing.
