Discount retail chain, , has been saved from financial uncertainty through an £80million investment led by global advisory firm, Gordon Brothers. The firm, which owns Poundland, Pepco, has confirmed that the company has been sold for just £1 after a period of instability for the high street chain, which recently warned of possible and tough trading conditions earlier this year. Poundland, which operates 825 stores across the UK and Ireland and employs around 16,000 people, has struggled with mounting costs and a decline in performance.

The £80million investment from Gordon Brothers is made up of a £30million secured loan, an additional £30million overdraft facility, and further operational funding to support restructuring efforts. Barry Williams, Poundland CEO, will continue to lead the company through the restructuring process.

The proposed restructuring plan includes negotiations for significant rent reductions on many stores, with cuts ranging from 10% to 50%, the reported.

Despite these efforts, more than 100 store closures are said to be closing under the new ownership, leading to thousands of jobs at risk.

In the first half of this year, revenue declined by 6.5% to £830million, with 18 stores closing during the same period.

It is understood that the company plans to provide full details of the restructuring to its creditors within the next few days.

Barry Williams, Poundland CEO, said: "Poundland is a UK and Ireland retailer of real significance, serving 20 million customers each year with a much-loved brand.

"Although recent trading has been challenging, we have built a turnaround plan with a simplified and more focused Poundland at its heart, as we aim to deliver the amazing value our customers expect.

"In due course we'll share more details of the proposed restructure and turnaround plan."

Mark Newton-Jones, Gordon Brothers head of Europe, Middle East and Africa, also said: "We are delighted to provide Barry Williams and his management team with the financing to support the substantial turnaround of this iconic retailer.

"We believe Poundland is an essential business to UK consumers and plays an important role on the High Street."