Wakefield-based Poundworld Retail, the family-run value retail chain, has secured £26m from Santander Corporate & Commercial to fund UK expansion and an increase in overseas trade suppliers.
Established in 1974 by current owner, Chris Edwards, the retail chain was originally branded Everything’s a £1 before the introduction of the Poundworld brand in 2004. Over the past 40 years, the business said it has adapted to changing retail markets, successfully maintaining the £1 price point through many economic cycles.
Now employing around 5,000 staff and with an annual turnover of £340m, Poundworld has over 240 stores across the UK and has grown to be the third-largest single price point retailer in the UK, with strong aspirations for growth. Its business plan includes opening between 40-50 new stores per year over the next three years, as well as operating more distribution depots.
In particular, the company has developed strong international trade links, with 30% of Poundworld’s suppliers now based overseas. The funding from Santander Corporate & Commercial, which includes a $30m import loan facility on extended terms, will help the firm develop its international supply chain even further, utilising Santander’s global reach and expertise to help achieve this.
Edwards said: “As we celebrate our 40th anniversary, I’m delighted that Poundworld is in great shape and the business is continuing to grow and prosper. There is strong demand from UK consumers for our value goods and everyday items, and we are pleased to be opening more stores and expanding our international supply chain to meet this demand. Santander really took the time to understand our business and used its international expertise to tailor a trade finance solution which supports our future growth aspirations.”
Paul Watkin, relationship director, large corporates North at Santander Corporate & Commercial, said: “Poundworld operates in one of the fastest growing segments in the retail sector, with around two-thirds of the UK population having shopped in a value retailer over the past 12 months. Led by an experienced management team, it has an extremely effective sales and growth business model. I’m delighted that Chris and the management team have chosen Santander to support the business as it focuses on expanding its UK stores and international supply chain.”