Back to the Future (BTTF), the owner of Kiwk Save, has sought financial advice from Pricewaterhouse Coopers in raising £30 million to compensate for significant losses.
The news follows TNS Worldpanel’s recent announcement that Kwik Save is disappearing from the high street.
The supermarket chain was said to be losing £1m a week up until its buyout by BTTF from Somerfield in February and it is thought the private group, headed by Richard Peacock, CEO of Peacock Group, is still trading at a considerable deficit.
Other reports have dismissed this claim, however, suggesting fundraising is to be directed toward the development of a new store model on trial at several stores.
A spokesperson for BTTF said: “This is about raising money to take the business forward, having made progress since we acquired the business in February.”
The company is reportedly keen to restore Kwik Save’s strength in concentrating on low-price branded groceries but analysts have warned the chain could be defeated by larger discount-focused operations.
