B&M to acquire up to 51 stores from bankrupt competitor Wilko.

As negotiations regarding a larger rescue package dangle in the air, discount retailer B&M has agreed to purchase numerous stores from the bankrupt retailer Wilko.

In a £13 million trade, B&M said that it will acquire up to 51 of Wilko's 400 stores.

In August, Wilko entered administration as the company battled steep losses and a liquidity crunch.

It is believed that finance concerns have caused a bid put out by the owner of HMV to purchase up to 300 stores to stall.

Since its establishment in 1930, Wilko has grown quickly to rank among Britain's top retailers.

The high cost of living has compelled consumers to look for deals, but the discount retailer has been up against fierce competition from rivals like B&M, Poundland, and Home Bargains.

The first layoffs began on Monday and affected 269 positions in Worksop's Wilko support establishment and 14 more at a subsidiary company.

In addition, B&M has not disclosed how many postings would be saved as a result of the acquisition of some Wilko stores.

The transaction, according to retail expert Catherine Shuttleworth, will also help B&M draw in more customers.

She said that this might lead to the creation of local jobs for Wilko employees at the newly acquired businesses.

Doug Putman, a Canadian billionaire, is rumoured to be getting closer to a deal to purchase up to 300 stores. His firm Sunrise Records purchased the defunct music retailer HMV in 2019 in order to preserve roughly 100 outlets and 1,500 jobs.

It is known that Mr Putman's intention to acquire Wilko is still a possibility, but the businessman is reportedly having trouble securing the deal's final funds.

(Sources: bbc.co.uk)