THE sale of discount chain Poundland is reportedly set to be confirmed in a matter of hours.
The deal will put thousands of high street jobs at risk with the parent firm planning a major restructure, according to Sky News.
Pepco Group has owned the 818-strong retail chain since 2016.
It is understood that a number of investment firms and private equity groups are among those to have tabled proposals to buy the business since it was put on the market earlier this year.
Laura Ashley owner Gordon Brothers is reportedly among the favourites to strike a deal.
The Telegraph previously reported that up to 200 Poundland stores could face closure as part of a rescue sale.
Pepco said it is looking to offload the brand amid a wider shift away from food and drinks with a deal expected before the end of its financial year in September.
It came as the group reported weak Poundland sales over the past half-year cutting the brand’s trading guidance for the year as a result.
Stephan Borchert, chief executive of Pepco, said: “At Poundland, trading remains challenging, which is reflected in a profit outturn below expectations for H1 and a weaker outlook for the full year.
“Barry Williams, who was reappointed as Poundland managing director in March 2025, and his team are actively driving a recovery plan to help turn around the business by refocusing on its traditional core strengths.”
Poundland revenues dropped by 6.5 per cent to €985million (£830million) for the six months to March compared with a year earlier.
The brand suffered “challenges across all categories” and had 18 net store closures over the period.
Poundland is now due to deliver earnings of between €0 and €20million (£16.9million) compared with previous guidance of €50million and €70million.
The wider Poland-based Pepco Group saw total revenues grow by 4.3 per cent to €3.34billion (£2.82billion) for the half-year.
However, like-for-like sales were marginally lower as growth in its Pepco brand was offset by the struggling Poundland operation.
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