The chain has faced possible administration in the tough economic climate
A plan to restructure discount chain Poundstretcher has been approved in the High Court as owners battled to save the 300-branch retailer from collapse. The plan means the retailer will try to cut rent payments, and 93 per cent of those owed money have agreed the deal.
Poundstretcher CEO Andy Atkinson said: “Our company is in a stronger position to continue investing in our stores, our people and the overall customer experience. Our priority now is exactly what it has always been – ensuring our customers across the UK have access to great products at great value.”
Poundstretcher says no store closures are planned as a result of the restructure. The court was told if the plan were not put into place, the company would have a £9.7million shortfall in its budget by the end of July – placing it at risk of administration and store closures.
Poundstretcher was bought by US investment firm Fortress in 2024. Poundstretcher was established in 1981 and specialises in low-cost everyday essentials.
Unlike pure “pound shops” (like Poundland) where historically everything was a fixed £1 price point, Poundstretcher uses a multi-price model. The company also operates some larger-format stores under the brand name Bargain Buys. After being family-owned for 18 years, Poundstretcher was bought out by the US private equity firm Fortress Investment Group, the same company that owns Majestic Wine.
They brought in a brand-new leadership team to refresh the product ranges, lower prices, and stabilise the business after tough trading years on the British high street.
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