LONDON - United Kingdom - British discount retailer Poundland plans to list its shares on the London Stock Exchange in March, joining a surge of store groups seeking flotations as the outlook for consumer spending improves.

The over 500 store Poundland, which sell items for 1 pound ($1.67), said the offer will comprise a partial sale to institutional investors of the holdings of majority owner Warburg Pincus and senior management.

Poundland will not be issuing any new shares to investors in the offer.

Two people familiar with the matter told Reuters in November Poundland would seek a valuation of 700-800 million pounds ($1.2-$1.3 billion).

Warburg Pincus owns 76 percent of Poundland, with the balance owned by the retailer's management, led by Chief Executive Jim McCarthy, a 30-year veteran of the retail sector.