Poundland’s former owner offers to invest as minister prepares to meet board

Poundland’s founder, Steve Smith, says he is willing to invest in the retailer as it faces administration, while Business Minister Kate Dearden is due to meet senior executives. The company has until Thursday to secure a rescue deal, with as many as 12,000 jobs at risk.

Smith said he had tried to contact owner Gordon Brothers and was surprised by the administration filing, citing sales 11.2% higher than a year earlier. Gordon Brothers, which bought Poundland for £1 last year, has stopped funding it and rejected an offer from Ireland’s Martin Property Group; it says it is considering interest in the whole business and viable parts. Poundland has about 600 UK and Ireland stores, and Smith warned that suppliers and other retailers could also be affected.