The Range has agreed to buy the Wilko brand as administrators sell off the remnants of the retailer after failing to secure a rescue deal.
The homeware retailer, which operates 210 stores in the UK and Ireland, has acquired the Wilko brand, its website, and intellectual property rights but has not bought any of its stores. Whilst not confirmed, reports said the deal was worth around £5m.
Wilko’s administrators PwC revealed that 36 workers would transfer over to The Range, with the online operation expected to restart in early October.
The Range has expanded rapidly in recent years and saw its sales soar to nearly £2bn during the pandemic after being classed as an essential retailer. Last year, the chain’s founder Chris Dawson, said it had been snapping up stores left empty by the likes of Debenhams, John Lewis, and other struggling retailers.
It was reported yesterday that Poundland had reached an agreement with PwC to take over the leases on up to 71 Wilko sites. This followed B&M snapping 51 sites for £13m.
All remaining stores are now being closed after PwC said it had become clear that “no significant part of the Wilko operations can be rescued” in its current form. However, the administrator has confirmed that other retailers were still interested in some of the remaining Wilko sites.
NAM Implications:
- This is really about online Wilko.
- And the sooner it restarts, the better.
- Existing 36 Wilko online staff transferring means less disruption in tapping into the Wilko UK franchise…
- …pointing users at The Range stores, even for Click & Collect.
- Scope for The Range to launch new products under the Wilko brand.
- All in all, a bargain at £5m…
