Wilko said it would undergo a warehouse sale and leaseback deal to unlock £48m to invest in its long-term transformational strategy.

As reported by Retail Gazette, Wilko has unveiled plans to unlock £48m as part of a strategic 15-year partnership agreement with logistics firm DHL.

The company said it plans to sell and leaseback its Nottinghamshire distribution centre to the logistics firm and explained that the deal will allow it to improve the proposition and customer experience across its 402 stores, as well as online.

Wilko added that it will continue to invest in its omnichannel offer and improve customer experiences.

Working in partnership with DHL means both Wilko and DHL will benefit from scale in property and warehousing, which will enable Wilko to help concentrate its efforts on “doing what it does best” – supplying families with great value products, easily accessible either online or in-store.

“It’s standard business practice to constantly review how we manage our finances,” commented Wilko CEO Jerome Saint-Marc. “This property deal with DHL represents long-term stability for us and our team members and is the right response to the current market conditions and our priorities. We’re making smart choices to trade as a business and allow us to continue to invest in our long-term transformational strategy.”

Wilko has recently been exploring cost-cutting and restructuring right across the business, engaging advisers from Teneo to assess its options.

“Wilko remains family owned and continues to focus on helping hard working families to be the best that they can be, delivering great value products to our customers,” added Jerome Saint-Marc.