UK discount retailer Poundland has declined to comment on reports the group is the subject of a potential sale by owner Warburg Pincus.

The US venture capital firm is understood to be mulling plans to offload the budget retailer in a deal worth around GBP600m (US$931.4m). According to The Scotsman, Warburg is planning either an auction or flotation of the business, which it acquired in 2010.

The 450-store group was acquired from fellow private-equity outfit Advent International for GBP200m

For the 53 weeks to 1 April 2012, Poundland booked turnover of GBP780m, up 21.6% on the prior 52-week period. Like-for-like sales increased 2.3%. The retailer said its underlying EBITDA was up 26.5% at GBP40.1m. At the end of that financial year, Poundlandhad 389 stores.

The retailer, which appointed former Tesco executive Andrew Higginson as chairman last year, is understood to have plans to increase its number of stores to 1,000 over the next five to ten years, The Scotsman said. Poundland also has over 20 stores in Ireland under the Dealz banner. 

A spokesperson for Poundland declined to comment on the reports, while Warburg Pincus did not return a request for comment.