Discount retailer B&M in £13m deal to acquire 51 Wilko stores

Liverpool-based discount retail chain, B&M European Value Retail, is to buy up to 51 stores from stricken retailer Wilko, in a deal worth up to £13m.

It is not clear whether the acquisition will rescue the jobs associated with the portfolio snapped up by B&M.

Worksop-based Wilko entered administration on August 10, putting 12,500 jobs at risk.

B&M said it entered into the acquisition agreement today with PricewaterhouseCoopers (PwC), the joint administrators of Wilko.

It said the consideration is fully funded from existing cash reserves and the acquisition is not expected to be conditional on any regulatory clearances.

An update on the timing of these new store openings will be provided in the interim results announcement on November 9, 2023.

Doug Putnam, who rescued entertainment retailer HMV, was in talks to acquire around 300 of the 400-strong Wilko estate, but it is now understood he is targeting around 200 sites.

Last Thursday, PwC announced the first redundancies since its appointment when it confirmed that 283 jobs would be lost, mainly at its support centre operations.

Joint administrator, Jane Steer, said: “We will continue to do all that we can to support staff through this period of difficult upheaval, and to maximise their opportunities for a rapid return to work.

“Our priority is to ensure that all team members affected by redundancy are assisted in processing their claims with immediate effect.”