Warburg-backed Poundland eyes £700m London IPO


PoundlandPrivate equity-backed discount retailer Poundland is reportedly preparing for a £700m IPO on the London Stock Exchange, which is expected to be announced this week.

Poundland, which is backed by private equity firm Warburg Pincus, is looking to raise between £300m and £400m to fund its growth plans in the UK and Europe, according to the Sunday Telegraph.

The company plans to increase the number of its stores in the UK to 1,000 from 517 and open 10 stores in Spain win the next two years.

Poundland’s sales climbed 12 per cent year on year to £350m in the Christmas period.

Pet supplies retailer Pets at Home is also expected to unveil its plans for a London IPO this week, according to the report.

It added that a number of retailers are considering IPOs in the next few weeks before the Easter break and there could be as many as 20 IPOs, citing market sources.

Back in October reports said Warburg was planning to float Poundland in the first half of 2014 after considering an outright sale.

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