A deal has been struck for the owners of Poundland to take over the leases of up to 71 Wilko stores.

The Pepco Group will rebrand the branches under the Poundland name, administrators PwC said.

In a statement, Poundland said it would give priority to Wilko workers when hiring new staff for the stores.

It comes after a rescue deal involving the owner of HMV collapsed earlier this week, seemingly dashing hopes that all of Wilko’s 400 branches could be saved.

PwC also warned on Monday evening that 9,100 Wilko employees were set to be made redundant by early October.

Fellow discount retailer B&M has already signed a deal to snap up 51 Wilko stores.

Be the first to get Breaking News

Install the Sky News app for free

The 122 stores included in the agreements with Pepco and B&M employ more than 3,200 staff in total.

Pace of wage growth outstrips rate of inflation while unemployment rate ticks up

Sunak’s Downing Street ‘committed’ to state pension triple lock despite cost concerns

Cost of living latest: Major bank withdraws easy access savings account; Nationwide cutting mortgage rates

It comes after Wilko – owned by the founding Wilkinson family for decades – collapsed into administration last month.

Joint administrator Edward Williams said: “Alongside the previously announced agreement with B&M, we’re confident this sale will create a platform for future employment opportunities for people including current Wilko team members at up to 122 locations.

“We will continue to engage with other retailers around any interest in other Wilko sites and are confident of completing a sale of the brand and intellectual property within the coming days.”

Poundland managing director Barry Williams said: “In the coming weeks we will work quickly with landlords so we can open these stores as Poundlands with the new ranges that have been pivotal to our recent development.

“And once that process is complete, we will ensure a significant number of the Wilko colleagues will join our Poundland team.”

He added: “The Wilko stores will accelerate our existing transformation programme, offering amazing value for consumers, providing growth opportunities for suppliers and supporting employment in the high streets, shopping centres and retail parks customers love.”

PwC said the 71 stores in the deal with Pepco include the following branches:

Aberdare

Alfreton

Alnwick

Altrincham

Ammanford

Ashby

Barking

Bedminster

Beeston

Bicester

Bishop Stortford

Bletchley

Bolton

Brentwood

Brigg

Cambridge

Chepstow

Coalville

Cramlington

Droitwich

Eccles

Edmonton Green

Ellesmere Port

Ferndown

Gateshead

Grays

Greenock

Grimsby

Havant

Hayes

Headingley

Hessle Road – Hull

Hillsborough

Hitchin

Jarrow

Killingworth

Kimberley

Lee Circle

Leek

Leigh

Lichfield

Maidenhead

Matlock

Melton Mowbray

Nelson

Northallerton

Orton

Pembroke Dock

Peterlee

Pontefract

Pontypool

Redhill

Redruth

Ripley

Rugeley

Sale

Seaham

Selly Oak

Shrewsbury Darwin Centre

South Shields

Southport

Stafford

Stamford

Stockport

Thornaby

Wellington

Wembley

West Ealing

Wombwell

Worcester

Worksop

Related posts:

Frasers warns of £200m hit due to effects of COVID-19 lockdowns Exponent has appetite for £150m dessert-maker Gu Puds Travel stocks help FTSE rally on first day of new year trading Tesco exec fired over accounting crisis takes role with ‘chicken king’ US inflation slows in April after seven months of gains Chelsea to unveil £20m-a-year shirt deal with cryptocurrency brand WhaleFin Houses on average £20,000 more expensive than a year ago Germany to miss gas storage target amid warnings of winter shortages Age-old complaint about savings rates is down to you rather than bank bosses Liberty Steel supplier Aartee Bright Bar crashes into administration Ratcliffe’s £5bn Manchester United bid has Glazer buyout clause Number of mortgages on the market at three-month low