Retailer B&M set for £2bn flotation

The firm was formed in 1978 and has 350 stores and about 15,000 staff, although it believes there is potential for up to 600 outlets.

Seen as a modern-day Woolworths, B&M has boosted its fortunes in recent years by branching out into clothes, pet food and toiletries, as well as through the opening of more stores away from its northern heartland.

Clayton, Dubilier & Rice (CDR), the American private equity firm that holds a controlling stake, has hired Lazard, the investment bank, to begin work on the share offering.

As many as 15 high street names with a value of more than £8bn are expected to float this year, but B&M would be one of the biggest.

Pets at Home, Poundland, House of Fraser, DFS and Card Factory are all reported to be working on plans for a public listing.

B&M’s chairman is the former Tesco chief executive Sir Terry Leahy. CDR bought a majority stake in B&M in 2012.