Warburg Pincus-backed Poundland is said to be planning to engage advisers such as Credit Suisse AG and Rothschild Group this week about its planned listing early next year. According to a report by British newspaper Express, the discount chain has already started the process for a floatation that could value the business at up to GBP800 million.
American private equity firm Warburg Pincus was reportedly seeking to raise GBP200 million to GBP300 million in the initial public offering. Proceeds from the listing would be used to expand its chain of shops, the report said.
Express said Poundland wanted to double its size in the United Kingdom to about 1,000 stores. The British variety store chain also wanted to open branches in continental Europe under its Dealz brand.
Poundland has taken over 85 of retail chain Woolworths' shops following its collapse in 2008, the report said.
Poundland increased its sales by 15% to GBP880 million in the year ended March 31. Meanwhile, its underlying pre-tax earnings rose by 15.6% to GBP45.4 million, Express reported.
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