Poundland filed notice of intention to appoint administrators after its US owner Gordon Brothers cut funding and rejected a takeover offer from Irish firm Martin Property Group. The West Midlands retailer, which has more than 800 stores across the UK and Ireland and employs around 16,000 staff, now has 10 days to find a rescue deal.
Founder Steve Smith opened the first Poundland shop on December 13, 1990, in Burton-upon-Trent, Staffordshire, taking more than £13,000 on day one. Smith sold his final shares in 2006 for £250m. Polish firm Pepco sold the brand to Gordon Brothers in 2025 for £1.
The board said it had not identified an acceptable offer for the business as a whole but that several retail operators had made formal offers collectively covering a significant part of the business. A protest was held outside Poundland's Walsall headquarters on Thursday, with staff expressing concern about job losses ahead of Christmas.
Professor Sarah Montano of the University of Birmingham said Poundland's original competitive advantage of selling everything for £1 has eroded as competitors now offer similar or cheaper prices.