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Poundworld to close 40 more stores | Poundworld to close 40 more stores |
(about 20 hours later) | |
Poundworld has said it will close a further 40 stores, resulting in 531 more job losses. | |
The discount goods retailer, which went into administration in June, said the stores would close on 24 July. | The discount goods retailer, which went into administration in June, said the stores would close on 24 July. |
Poundworld had already announced plans to close 105 of its 335 stores, having failed to strike a rescue deal. | Poundworld had already announced plans to close 105 of its 335 stores, having failed to strike a rescue deal. |
Its administrators, Deloitte, said they were still looking for buyers for all, or parts, of the remaining business. | Its administrators, Deloitte, said they were still looking for buyers for all, or parts, of the remaining business. |
Clare Boardman, joint administrator, said: "We would like to thank all the employees for their continued support and commitment during this difficult time. We are keeping staff appraised of developments as they happen." | Clare Boardman, joint administrator, said: "We would like to thank all the employees for their continued support and commitment during this difficult time. We are keeping staff appraised of developments as they happen." |
At least two potential rescue deals have failed so far, including one from the chain's founder Chris Edwards, who was offering to buy around half of the stores. | At least two potential rescue deals have failed so far, including one from the chain's founder Chris Edwards, who was offering to buy around half of the stores. |
Mr Edwards, who founded Poundworld in 1974, was critical of how his offer was received by Deloitte, and said he was "shocked and surprised" that he was turned away. | Mr Edwards, who founded Poundworld in 1974, was critical of how his offer was received by Deloitte, and said he was "shocked and surprised" that he was turned away. |
In June, Alteri investors, which specialises in buying struggling retailers, also pulled out of takeover talks. | In June, Alteri investors, which specialises in buying struggling retailers, also pulled out of takeover talks. |
Poundworld went bust in early June after struggling with tough competition on the High Street from rivals including Poundland and Poundstretcher. | Poundworld went bust in early June after struggling with tough competition on the High Street from rivals including Poundland and Poundstretcher. |
It was also hit by the fall in the value of the pound after the 2016 Brexit referendum, which has pushed up the price of imported goods. | It was also hit by the fall in the value of the pound after the 2016 Brexit referendum, which has pushed up the price of imported goods. |
Poundworld employed about 5,100 people before it went into administration and around 1,800 redundancies have been announced since then. | Poundworld employed about 5,100 people before it went into administration and around 1,800 redundancies have been announced since then. |
Deloitte has also made 100 people redundant at Poundworld's head office in Normanton, West Yorkshire. | Deloitte has also made 100 people redundant at Poundworld's head office in Normanton, West Yorkshire. |
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