Hope for Weymouth Wilko store as rescue bid made

Private equity firm M2 Capital has confirmed it has made a £90m bid for the business, and has pledged to retain all employees' jobs for two years.

The bid by M2, first reported by the Guardian, is one of several offers being considered by administrators.

M2 managing director Robert Mantse told the BBC that if the firm's rescue bid was accepted, M2 would "guarantee all employees' jobs for two years".

The owner of UK high street retailer HMV was also making one last push to come up with the funding needed for an eleventh-hour rescue bid for Wilko.

According to Sky News, HMV owner Doug Putman has approached a number of debt providers - including firms like Gordon Brothers and Hilco - for help to finance an offer which would save hundreds of Wilko stores and thousands of jobs across the UK.

This last-ditch attempt comes following news earlier this week that Wilko stores across the UK could begin closing "within weeks" leading to a significant number of redundancies.

The GMB union - which represents more than 3000 Wilko workers - said it was told in a meeting that “there is no longer any prospect that the majority of the business will be saved”.

As a result, stores are set to close and there are expected to be redundancies affecting staff in-store and within the company's call centres.

Wilko currently has 408 stores across the UK and more than 12,500 employees. (Image: PA)

Joint administrators of Wilkinson Hardware Stores Ltd (Wilko) Jane Steer, Zelf Hussain and Edward Williams from PwC released a statement following the comments from GMB which confirmed there would be "redundancies and store closures" at some point in the future.

In a statement, the administrators said: “Since our appointment as administrators of Wilko, we have held extensive discussions with parties who expressed an interest in buying all or part of the business.

“While discussions continue with those interested in buying parts of the business, it’s clear that the nature of this interest is not focused on the whole group.

“Sadly, it is therefore likely that there will be redundancies and store closures in the future."

Wilko bidders - HMV's potential offer and other UK retailers that could take over stores

According to Sky News despite Mr Putman's attempt to put together a last-minute bid, a source has told them the likelihood of the HMV owner rescuing Wilko was "unlikely".

But Mr Putman remains in discussions with administrators PricewaterhouseCoopers (PwC).

A retail executive, speaking to the news outlet, said "a decision was likely at the start of next week" as to whether or not his offer is viable.

Wilko has 408 stores (at the time of publication) across the UK with more than 12,500 employees.

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If Mr Putman's bid is unsuccessful it is likely most of the Wilko business will be liquidated resulting in thousands of redundancies.

But there are a number of UK retailers waiting in the wings to take over parts of the Wilko business, Sky News reports.

Sky News said: "Wilko will be broken up, with 150 stores sold to Poundland and London-listed B&M European Value Retail."

On top of that, a source also revealed The Range was in pole position to acquire Wilko's brand and online operations.

Wilko stores at risk of closing

There are 408 Wilko stores across the UK which are all at risk of closing as early as the next few weeks, according to the GMB union.

These stores employ more than 12,500 staff.

Wilko stores are located across the UK.

See the map below for the full list of Wilko stores located across the UK:

Other UK retailers including Dunelm and The Works have recently reached out to Wilko staff offering them "guaranteed" job interviews following news the company had entered administration.

Aldi also reached out to Wilko employees this week urging them to apply for hundreds of roles available with the supermarket chain across the UK.