Blog: Will Poundland continue to prosper?
Dean Best | 4 May 2010
With consumers still watching the pennies, the likes of Poundland, the UK single-price retailer, look set to continue to prosper - at least in the short term.
That will be the hope of new owners Warburg Pincus, the US private-equity firm, which has paid a rumoured GBP200m for the business.
However, questions will be raised about the prospects for Poundland once the UK economy recovers, especially with the UK's major multiples continuing to expand into the general merchandise retailer's key non-food categories.
Poundland insists it can thrive in recovery. As Warburg Pincus will discover, UK retail is a very competitive environment and Poundland has some formidable competition.
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