GORDON BROTHERS HOLDS TALKS WITH MINISTERS OVER POUNDLAND RESCUE

Business Secretary Jonathan Reynolds held talks with Gordon Brothers, the US owner of Poundland, as the government tries to prevent the retailer's collapse. Poundland filed a notice of intention to appoint administrators last week, starting a 10-working-day window to secure a rescue deal, with roughly 12,000 jobs at risk. Gordon Brothers, which bought Poundland for £1 last year, rejected a takeover bid that could have protected those jobs. Reynolds and Prime Minister Andy Burnham have both questioned why a deal has not been reached.

Poundland's board has appointed the advisory firm AlixPartners to run the sale process after Gordon Brothers stopped funding the business. Gordon Brothers said Poundland was "in distress" and needed "a radical restructure, urgent operational change and significant funding" when it was acquired. The firm said the business "remains challenged and vulnerable to any potential downturn in future trading." The sale process launched in September, and advisers have spent about two months in talks with parties interested in buying the brand and a large number of stores.

Liam Byrne, who chairs Parliament's business committee, said MPs have called in Poundland's owners for questioning on Wednesday 11 November over their role in the retailer's position. Byrne said: "Every report suggests Poundland is a viable, profitable business with a future ahead of it and without good reason to let it crash and burn - and then to break it up and sell it off piece by piece." Gordon Brothers said it is "pursuing all avenues through the sales process to find a solution which protects as many jobs as possible and preserves value." It remains unclear whether the firm will keep the business together or break it up.