Poundstretcher, one of Britain’s biggest discount retail chains, has been sold to the owner of Majestic Wine and Punch Pubs.
On Thursday, Fortress Investment Group said it struck a deal to acquire Poundstretcher which trades from more than 320 sites across the UK.
The discounter, which oversees 4,000 people, is one of the biggest private retail employers.
As part of the deal, Andy Atkinson, former group commercial director at Morrisons, will join Poundstretcher as chief executive.
The brand’s former chief executive Tristan Phillips will take up the role as chief financial officer.
It follows the retirement of Poundstretcher owner Aziz Tayub.
Tayub, outgoing owner of Poundstretcher said: “I am very pleased that the Fortress team will be providing the resources and investment needed to take Poundstretcher to its next stage of growth following my retirement.
“Fortress are well placed to work with the fantastic Poundstretcher team, who I’d like to thank for their hard work and dedication during the 18 years that we’ve grown the business together, and I look forward to watching and cheering their shared success in the years ahead.”
Poundstretcher adds to Fortress’s existing UK investment portfolio. This includes the UK’s largest specialist wine retailer, Majestic Wine, which has increased its headcount and opened new stores since its purchase in 2019.
Earlier this month, Majestic acquired Vagabond Wines out of administration, adding nine wine bars and saving 171 jobs. Fortress also owns Punch Pubs Group, an independent pub company with 1,241 pubs across the UK, which it acquired in 2021.
Ahsan Aijaz, managing director and co-head of Private Equity at Fortress Investment Group, said: “Poundstretcher is an exciting business in a critical part of the UK retail sector, and we recognise its importance to consumers across the country. We have long believed in the UK, and the consumer sector, as evidenced by our investments.
“We have a demonstrated history of investing in sponsored companies to drive growth, increase profitability and job creation—our plans for Poundstretcher are no different. Fortress believes in empowering management teams to deliver their strategy and we look forward to working with the team to invest in and grow Poundstretcher.”