Could Andy Bond return to Poundland as part of management buyout?

News continues to swirl around Poundland’s fate as its likely-short-term owner Gordon Brothers prepares to sell the chain and the latest news is that former Asda and Pepco boss Andy Bond may return to the business as part of a management buyout.

Reports have suggested an MBO could secure 11,000 jobs at the budget chain.

Management is reportedly in “advanced talks” about a bid and Bond — who led Poundland specifically in its glory days before staking the helm at then-owner Pepco — is believed to be on board. Current Poundland chief Barry Williams is also said to be part of the buyout team and in talks with an unspecified financial backer.

Gordon Brothers bought the business for a nominal £1 around a year ago but its takeover included the need for major investment in the business and Gordon agreed to pump in around £80 million. It also closed a raft of stores.

Alvarez & Marsal is overseeing the sale process with a reported value of around £30 million and there have been fears over jobs and a potential break-up of the business. 

Others believed to be interested include serial acquirer Modella Capital (which already owns Dealz Poland and may be particularly interest in Poundland’s Dealz business in Ireland), and US company Fortress, which owns rival Poundstretcher. Reports have suggested that the entire Poundland/Dealz business is likely to attract very few bids.