Poundland has said it still hopes to keep the business intact through a management buyout, as it launched a hunt for temporary Christmas staff.
The recruitment push comes as a clutch of bidders vies for parts of the business in auction process by owner Gordon Brothers.
Trade Union Usdaw said on Monday that Gordon Brothers had rejected the management buyout (MBO) offer and it was “deeply concerned” Poundland was being “being pushed into administration”.
Poundstretcher owner Fortress and The Range owner CDS Superstores are the latest names to be linked to the auction process, with both said to be making offers for stores, adding to fears of insolvency.
Poundland said the MBO team, including MD Barry Williams and former Asda and Pepco Group CEO Andy Bond, was still offering a solvent solution, backed by an Irish property group.
“The offer that Barry and Andy are supporting from Martin Property Group is fully funded and ready to go, keeping the business intact, and will build on the rapid progress we’ve already made,” said a Poundland spokesman.
Aldi and Lidl are also interested in acquiring some Poundland stores, The Times has reported.
CDS Superstores, founded by Chris Dawson, bought the Wilko brand in September 2023 and Homebase, including 70 stores, in November 2024, in both cases from administrators. The Homebase deal saved about 1,600 jobs and the Wilko brand returned to the high street as CDS began opening new stores in late 2023.
Read more: Poundland: what would a new owner’s game plan be?
Fortress has withdrawn a takeover bid for Poundland to instead table an offer for hundreds of its stores, Sky News reported on Tuesday.
A CDS spokesperson said: “We don’t comment on market speculation. Our focus remains on growing our family of brands and delivering outstanding value for customers.”
Gordon Brothers, Fortress, Aldi and Lidl were approached for comment.
Poundland said it was hiring 400 seasonal staff to support it during the busiest time of the year. “The seasonal recruitment is another sign that Poundland has firmly established a recovery that has seen it return to like-for-like sales growth and profitability,” said the spokesman.
“Having delivered 3.3% like-for-like growth in the final quarter of its financial year [to 27 September], and 6.7% in the month of September, Poundland is gearing up to deliver customers a Christmas to be proud of.”
Poundland retail director Allan Smallman said: “After a busy year getting the business back on track, our store teams are excited about delivering our best Christmas in years as our all-new seasonal ranges begin landing in store.
“Our people make the difference whatever the time of year, but at Christmas they play a special role looking after our customers.
“We look forward to welcoming new colleagues to our teams to help make this Christmas really special.”
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