The owner of Poundland is racing to sell the retailer before the festive period.
The proposed sale of Poundland comes after private equity firm Gordon Brothers only bought the business last June for £1.
The retailer has around 600 stores nationwide, including eight in Norfolk - three in Great Yarmouth, two in Norwich and one in each of King's Lynn, Dereham, and Thetford.
Gordon Brothers, which has overseen a major restructuring of the business, has hired corporate advisory firm Alvarez & Marsal (A&M) to sound out potential buyers.
It is understood A&M launched the formal sale process on Wednesday and will start to talk with potential suitors for the retailer amid initial interest from a number of parties.
Sky News reported that TG Jones and Hobbycraft owner Modella is among groups to have already made approaches regarding their interest.
The sale process is expected to complete swiftly over the coming weeks, amid internal hopes that the process will finish ahead of the key festive trading period.
Poundland has undergone a major overhaul under Gordon Brothers, amid efforts to turn around significant losses and offset weak consumer demand.
The company shut more than 100 stores across the UK as a result.
Recovery efforts have focused on simplifying the business, including by cutting stores but also by overhauling its pricing structure.
It has returned to a simple £1, £2 and £3 grocery pricing across all its UK shops, and rolled out simpler pricing for its general merchandise and clothing ranges.
A spokesman for Poundland said: “We’re not going to be distracted from the successful recovery we’re putting in place through good old-fashioned back-to-basics retailing.
"Lower prices. New ranges. Better service.”
Earlier this year, Gordon Brothers also bought the LK Bennett and Radley brands from administration.
