Homebase that outlined plans to close roughly 60 stores next week, which threatens more than 1,000 jobs.
In May, Wesfarmers offloaded the entire 250-store Homebase chain and sold the company to retail turnaround specialist Hilco Capital for a nominal sum thought to be £1.
Hilco Capital is expected to outline proposals for a Company Voluntary Arrangement (CVA) that will pave the way for almost 60 Homebase stores to be axed.
The CVA will be launched early next week by professional services firm, Alvarez & Marsal.
Bunnings, who are owned by Wesfarmers, acquired Homebase in 2016 in a £340million deal. The company had been trying to rebrand Wesfarmers as Bunnings, which is a household hardware chain in Australia.
The number of stores to be axed is not finalised as it could be anywhere between 50-80 shops, which include 18 that have already been closed in recent months.
On Monday it was reported that Croydon's only Homebase would close permanently on September 21.
A spokeswoman for the chain said told the Croydon Advertiser: “We can confirm that our store in Croydon is set to close on September 21.