Former Asda chief executive Andy Bond is launching a discount variety chain with backing from Pepkor, South African Christo Wiese’s investment vehicle.

The chain is set to sell general merchandise and ambient grocery and will be a new entry into the already crowded marketplace, which includes Wilko, Home Bargains, B&M and the single priced-discounters.

Bond launched discount clothing format Pep & Co this summer and it is understood the format’s fashion will also feature in the new variety chain, which has yet to be named, according to Retail Week.

Bond is set to target secondary towns for the venture, though no properties have been secured so far for the new format.

Other top retail names reported to be involved include Koray Gul, who will be managing director.

Gul was an executive Asda from May 2013 until May this year when he became vice president of International Procurement and Logistics, the Asda-owned food procurement and logistics company.

Simon Singleton, former chief operating officer at Holland & Barrett, will be operations director. 

Daniel Donnelly, former Poundworld buying director, will be sourcing director and Roy Ellis, Poundstretcher’s finance director, will hold the same role at the new company.