Overview
- Poundstretcher, which attended a convening hearing Wednesday, won permission to hold creditor votes on 26 May, with a 4 June court hearing pencilled in to sanction the plan if it passes.
- The retailer told the judge it will likely have no choice but to file for administration if creditors reject the plan.
- Lawyers disclosed cash shortfalls of £2.8 million due in the week starting 28 June, rising to £9.7 million in the week commencing 26 July.
- The rescue plan targets lower property costs through rent cuts and operational changes such as shifting toward better-known household brands and selectively opening stores in higher-footfall areas, with Teneo advising.
- The company, which has nearly 300 UK stores and about 3,000 staff and was bought by Fortress in 2024, says trading has weakened since 2020 due to low consumer confidence and higher costs.