Poundworld has secured £26m in funding to finance its ambitious expansion plans and develop its international supply chain.
The variety discounter, which currently has about 240 stores, is aiming to open between 40 to 50 new stores a year for the next three years, as well as operating more distribution centres.
It said the new funding, from Santander Corporate & Commercial – which includes a $30m import loan facility on extended terms – would also help it develop its international supply chain. About 30% of Poundworld’s suppliers are based overseas.
“There is strong demand from UK consumers for our value goods and everyday items, and we are pleased to be opening more stores and expanding our international supply chain to meet this demand,” said Poundworld founder and CEO Chris Edwards.
“Santander really took the time to understand our business and used its international expertise to tailor a trade finance solution which supports our future growth aspirations.”
Paul Watkin, relationship director for large corporates north at Santander, added: “I’m delighted that Chris and the management team have chosen Santander to support the business as it focuses on expanding its UK stores and international supply chain.”
Poundworld is number nine on The Grocer’s ranking of the UK’s Top 50 independent grocery . It has an annual turnover of £340m.
Its funding comes as rival variety discounters also boost their funds. in March this year and is due to update on trading tomorrow. listed on the London Stock ExchangeB&M Bargains also floated on the London markets last month in a move that valued the company at £2.9bn.