Exclusive: New bidder promises to save Poundland jobs as MPs summon owner

A little-known investment group has offered to pay £12.5 million upfront to rescue Poundland, more than twice the amount proposed by a rival bidder, and is promising to protect thousands of jobs . Xyra Group Holdings, which has never previously acquired a retailer, wants to buy the entire business, retain its existing management team and expand the discount chain internationally. Its offer would see Gordon Brothers, Poundland’s current owner, receive £12.5 million upfront towards repayment of a £30 million shareholder loan, compared with the £5 million offered by Martin Property Group.

A company source told ITV News that Xyra had assembled a board with the expertise to turn Poundland, which is on the brink of insolvency, around. “They possess the experience in abundance,” the source said. “There are a lot of reputations here on the line. We cannot afford to say anything that isn’t factual.” Xyra Group Holdings leadership team Credit: Xyra Group According to Xyra’s website, its leadership team includes Andrew Brode, the veteran businessman who floated RWS on the stock market, Graham Martin, a former senior executive at restructuring consultancy AlixPartners, and Dave Elston, who previously held senior e-commerce roles at Clarks.

Brode was appointed a director on October 31, just two days before Xyra submitted its bid for Poundland. The source said Xyra’s priority was to preserve Poundland as a going concern and protect jobs at the retailer and throughout its supply chain. “Our concern is the people,” they said. “Our proposal is designed to keep the business trading as a going concern and to protect those livelihoods.” Xyra estimates that Poundland employs around 10,400 people across the UK and Ireland, with as many as 30,000 additional jobs dependent on the business through its suppliers, logistics operations and high street presence.

The group says it has no plans to sell the business after acquiring it. “We want to grow Poundland, nationally and internationally,” the source said. “This is a long-term play, an international play, where the people are put first.” But questions remain about Xyra’s financial resources and its record of completing acquisitions. The company was incorporated less than two years ago and its latest accounts, filed at Companies House in August, show a tiny balance sheet, with net liabilities of just £296 at the end of November 2025.

Subscribe free to our weekly newsletter for exclusive and original coverage from ITV News. Direct to your inbox every Friday morning. In a video posted on YouTube a year ago, which has since been removed, Xyra’s 23-year-old founder, Manvedeep Singh, claimed that the group had 50 potential acquisitions in the pipeline, including 30 signed letters of intent and five sets of heads of terms. Xyra has yet to identify a single completed acquisition.

ITV News understands that Xyra submitted its bid for Poundland on Monday morning. In addition to the £12.5 million upfront payment, the proposal includes arrangements to take on Poundland’s existing credit facilities. Xyra has given Gordon Brothers and its advisers until the close of play on Wednesday to respond. Asked how the acquisition would be funded, the company source said the money would come “from within our group” but declined to provide further details.

Xyra said it also intended to inject additional funds into Poundland but would not disclose how much. Xyra’s bid is one of two offers still under serious consideration. An earlier offer from Martin Property Group, which had the support of Poundland’s managing director Barry Williams and its chief financial officer Shaun Wills has been rejected, although discussions continue. A separate bid from Innovest Holdings, which was publicly backed by Reform UK’s Robert Jenrick at the weekend, has failed to satisfy Gordon Brothers’ advisers that it has sufficient funding to complete the deal.

Innovest is being advised by Charles Bunker, who stood for Reform UK in Hitchin at the last general election. Gordon Brothers, the US investment and restructuring firm, bought a majority stake in Poundland for £1 in June 2025. It subsequently put the business up for sale. Poundland insiders have accused Gordon Brothers of deliberately pushing the business towards administration , believing it could make more money by closing stores and liquidating the stock in the run-up to Christmas than from a sale to a new owner.

MPs on the Business, Innovation, Science and Trade Committee have expressed alarm at Poundland's potential failure and have summoned Gordon Brothers to appear before Parliament next week to explain their role in the looming insolvency. Microsoft makes 'voluntary exit offer' to quarter of workforce amid AI push Chancellor says Budget's cost of living support will be 'targeted and temporary' Labour MP Liam Byrne, chair of the committee said: "Every report suggests Poundland is a viable, profitable business with a future ahead of it without good reason to let it crash and burn, and then break it up and sell it off piece by piece.”

In a letter sent on Monday to David Bickerton, a senior government business adviser, Mark Newton-Jones, who oversees Gordon Brothers’ European operations and previously ran Mothercare, defended the firm’s stewardship of Poundland, pointing out that it had provided £85 million in additional financing since acquiring the business in June 2025. “Like other high street retailers, [Poundland] faces multiple economic challenges, including rising inflation, increasing staffing costs and shrinkage from severe levels of shoplifting, which means it is still not cash-generative at a sustainable level despite the turnaround efforts,” he wrote.

The comments were first reported by Sky News. Last week, when Poundland filed a notice of intention to appoint administrators, its board said the two-month sale process had been unsuccessful. A statement said: “Despite enormous efforts it has not been possible to identify an acceptable offer for the business as a whole. The process has however attracted several established retail operators who have made formal offers, collectively these cover a significant part of the business, and we believe offer the best available prospects for shareholders, creditors and to preserve jobs.”

Tesco, Iceland, B&M, The Range and Lidl have all expressed interest in acquiring parts of Poundland’s store estate but are not understood to be interested in buying the business as a going concern. Gordon Brothers, Poundland and Xyra have all been approached for comment. From Westminster to Washington DC - our political experts are across all the latest key talking points. Listen to the latest episode below...