Poundland owner Pepco ceases operations in Austria

Just two years on from its entry into the region, UK-headquartered Pepco Group NV is discontinuing its business activities in Austria.

The retail group, which operated 73 budget stores of the same name in the country, came to the decision after an ongoing and thorough review of its performance concluded that the market did not meet its expectations, Pepco announced earlier this week.

The company, which also owns UK-based Poundland and Irish and Polish discounter Dealz, did not believe that Pepco would achieve the appropriate level of returns in Austria.

Pepco further noted that the withdrawal from the Austrian market should have no impact on the group's ongoing expansion in Western Europe, which will continue.

Pepco opened its first two stores in Austria in September 2021, one in Vienna shopping centres Center 21 and another in Cine Nova in Wiener Neustadt.