Poundland owner ‘not acting in best interests’ of workers, says No10
Poundland owner Gordon Brothers is “not acting in the best interests” of the discount retailer’s staff and stores as it hurtles towards collapse, Downing Street has said. The Boston-based investment firm, which has faced intense criticism over its attempted sale of Poundland, must explain why it has rejected solvent offers to rescue the troubled retailer [...]
Downing Street has expressed concern that Gordon Brothers, the owner of discount retailer Poundland, is not acting in the best interests of the company's staff and stores as it approaches collapse. The UK government has called on Gordon Brothers to explain why it has rejected solvent offers to rescue the struggling retailer and its 12,000 employees.
The Prime Minister's official spokesman stated that the government remains closely monitoring the situation, which is causing worry for Poundland staff, their families, and local communities. Business Secretary Jonathan Reynolds and Future of Work Minister Kate Dearden are set to meet with Poundland's managing director and finance officer in the coming days to discuss the matter.
Gordon Brothers has turned down two solvent bids, one from Irish firm Martin Property Group and another from Innovest, due to concerns over the lack of up-front payment for a £30m loan inherited from the retailer's previous owners. Reform UK's Treasury spokesman has criticized the owners as "greedy" for rejecting these offers. Poundland has appointed administrators, increasing the likelihood of the company being broken up among multiple buyers.
Retailers such as Lidl, Tesco, Iceland, B&M, The Range, and Poundstretcher are among those interested in acquiring some of Poundland's stores if the company collapses.
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