Poundworld on brink of administration putting 5300 jobs at risk

Share

Poundworld is owned by TPG Capital whose potential buyer, Alteri Investors, decided against saving the business. But this restructuring was put on hold by TPG, a U.S. private equity firm, after it received expressions of interest in the company.

Poundworld is the latest retailer to feel the impact of the high street woes, and on the brink of administration.

According to reports, Deloitte, which has been responsible for handling the sale of the chain, has also been putting together plans for an administration in case TPG fails to find the right buyer in the near future.

Poundworld filed a notice of intention to appoint administrators last Thursday and this has given it 10 days to continue talks aimed at negotiating a sale, the spokesperson confirmed.

Avengers 4 concept art leaked; reveals interesting theories
The clean-shaven Cap doesn't have the Wakandan shield that T'Challa aka Black Panther passed on to him before Thanos' arrival on Earth.

The company's management have said they are in talks with other potential buyers, and it is thought that Poundworld's founder, Chris Edwards, might take on the business.

The budget retailer has 15 stores in Northern Ireland and around 100 jobs here could be lost.

Bosses at the struggling firm opted to put it up for sale in May, rather than going through a restructuring programme that would involve cutting 1,500 jobs. Read about the House of Fraser and its Carlisle store here.

The grim climate on the high street, which has claimed casualties such as Maplin and Toys R Us UK this year, has paved the way for a string of chains to attempt restructurings through a mechanism called a Company Voluntary Arrangement (CVA) - a legally binding agreement with creditors.

President Trump considering pardon of boxing great Muhammad Ali
Ali remained free while he appealed the conviction, but he was stripped of his world heavyweight title and his boxing license. Ali cited his religious beliefs as the reason behind his decision to not take part in the draft for the Vietnam War.

Failure to successfully conclude a deal would probably lead to HoF plunging into administration, although the company insists its plans are "on track".

A CVA at Poundworld would, if approved by creditors, lead to its store estate being reduced to around 250 shops with 4,000 employees.

Rcapital, Poundworld and TPG declined to comment.

Trump to leave G7 summit early; fires back at Trudeau
European Union and Canadian leaders also appeared ready to unite against Trump at the upcoming G7 summit. Trump is set to hold a series of group and one-on-one meetings, including with Trudeau and Macron.

Share