Britain's second-largest single price retailer Poundworld has been snapped up by US-based private equity group TPG in a deal reportedly valuing the business at £150m.
Poundworld was started from a market stall in Wakefield, West Yorkshire in 1974 by owner Chris Edwards Sr and has since growth to have around 270 stores and over 5000 employees.
"I began this business as a market trader and we now have millions of customers from all corners of the nation and all walks of life. Still, there is so much more for us to achieve," Mr Edward Sr said.
The group, which also owns the Bargain Buys chain, recently said sales rose by 55 per cent to £206m in the year to March 31 and pre-tax profit while earnings before interest, taxes, depreciation and amortization - another measure of profitability - rose 38 per cent to £8.6m.
And the acquisition means that Poundworld will have the cash needed to open more stores, invest in new distribution facilities and make use of advanced data analytics.
"We see the continuing rise and evolution of the value retailer as an exciting change in the UK retail landscape," Abel Halpern, a partner at TPG, said.
"Poundworld has succeeded in building one of the leading positions in the market with a focus on consumer preference, convenience and value."
"With our financial backing and retail experience, combined with Poundworld’s entrepreneurial dynamism and strong brand, the business is now well positioned for continued growth."
It was an equity only deal and Poundworld was advised by PWC as well as Squire Patton Boggs.