Poundland raises £50m

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​Discount ​retailer Poundland is to raise ​£​50​m through a ​share ​placing to finance its purchase of smaller rival 99p Stores.

The ​£​55​m acquisition of 99p Stores​, which has 251 stores,​ was cleared by the competition regulator last week.

Poundland said JP Morgan has been appointed sole bookrunner for the placing, with Shore Capital as co-lead manager.

The discount retailer which joined the stock market last year also updated on current​ ​trading on Thursday.

It said it expected core business pre-tax​ profit for the year to​ ​March 2016 to be in line with ​the ​market consensus​, which stands at ​£46.5​m.

However, it expect​s​ pre​-​tax profit for the first half of the year to be lower than in the first half of 2015, reflecting higher opening costs for new stores.

Poundland said sales for the 25 weeks to September 20 rose 5.5 per cent on a constant currency basis and on an actual currency basis they rose 4.9 per cent to £532.1m.

But ​like-for-like ​sales fell 2.9 per​ ​cent.