Wilko rumour mill: B&M shares up as takeover whispers gather volume

LAURA MCGUIRE

DISCOUNTERS led by B&M and Poundland-owner Pepco Group saw their shares jump yesterday following reports that they may be considering a takeover of troubled retailer Wilko. Home Bargains and The Range have also been named as potential buyers for the family-owned business, according to a report in The Sun, with all parties showing interest in parts of the business.

B&M’s share price rose 2.27 per cent yesterday while Pepco closed up 0.43 per cent on the Warsaw Stock Exchange where it is listed.

“Everyone loves a bargain and investors could be thinking that B&M has a chance to grab market share, and knock out a distressed rival by taking over Wilko at what is likely to be a low price, given the chain’s financial woes,” Russ Mould, investment director at

AJ Bell, told CityA.M.

A sale would provide a slither of hope for the 12,000 employees across its 400 strong estate who face redundancy if a deal does not come to play.

But the clock is ticking for potential buyers as its administrators at PwC have given a deadline of today to place offers for the business. Even during the height of the cost of living crisis, which drove customers back to cheaper stores in search of deals, it underperformed compared to its rumoured suitors.