Poundworld falls into administration

A number- or all- of Poundworld's stores could be sold

Poundworld is expected to crash into administration this morning after last-ditch sales talks broke down, putting 5,100 jobs at risk, the Press Association understands.

Deloitte is expected to be appointed to oversee the administration.

Deloitte said Poundworld would trade as usual while it seeks a buyer for all or part of the business, adding that no redundancies or store closures are yet planned.

Deloitte said there are no redundancies or store closures now and has been working alongside the company in a bid to keep it afloat.

Like many retailers, Poundworld has been hit by falling consumer confidence, rising overheads, the weaker pound and the growth of online shopping.

Poundworld has been losing money for the past two years.

Poundworld, which has a chain of 335 shops, filed a notice of intention to appoint an administrator last Thursday, giving it temporary protection from its creditors.

Other parties named as possible buyers were turnaround specialist Alteri Investors and Poundworld's founder Chris Edwards.

The high street has also been rocked by a succession of retailers and restaurant chains unveiling plans to shut down stores to reflect tougher trading conditions.

The stores suffered a major rise in multi-million pound losses previous year - rising from £5.4m to £17.1m in 2016/17.

House of Fraser is seeking landlord approval for the restructuring plan, which is a form of insolvency known as a Company Voluntary Agreement (CVA).

Other retailers undertaking CVAs in a bid to keep trading include New Look, Mothercare and Carpetright.



Latest news

Italian mayors rebel against Salvini’s order to block migrant ship
The Maltese government refused the request, stating worldwide law required the passengers be unloaded in Italy . Muscat said he told Conte "that Malta is acting in full conformity with its global obligations".

Trump Meets Singapore's Lee Before Historic Kim Jong Un Summit
Likely to attend the summit with Trump are Pompeo, Bolton and White House chief of staff John Kelly. In March, Trump surprised the world by accepting an invitation from Kim to meet in person.

Row over ship with 600 migrants aboard adrift off Italy
Among those on board are 400 migrants rescued by the Italian navy and merchant vessels before being transferred to the Aquarius. The rescuers say those on board the Acquarius include 123 unaccompanied minors, 11 children, and seven pregnant women.

Women's Asia Cup Final
Only two Pakistani batsmen reached double figures with opener Nahida Khan scoring and 18 and Sana Mir chipping in with 20 not out. Where is India v/s Bangladesh Women's Asia Cup final T20 match? Thus, the defending champions will like to tighten their screws.

Rafael Nadal Wins 11th French Open
World number one Rafael Nadal won an 11th French Open title by beating Austria's Dominic Thiem in straight sets. One of the hardest hitters of the tennis ball, Thiem, playing his maiden Slam final, more than held his ground.

Other news