B&M European Value Retail on Tuesday said it had agreed to buy up to 51 Wilko stores following the collapse of the rival discount chain.

Wilko had 400 stores and employed about 12,500 staff when it collapsed over the summer.

British customers and businesses continue to face soaring costs, with UK annual inflation at 6.8 percent, the highest among G7 countries.

The B&M group, which runs about 1,150 stores in the UK and France under the B&M and Heron brands, said it would spend £13 million ($16.3 million) on buying up the Wilko shops.

"The consideration is fully funded from existing cash reserves and the acquisition is not expected to be conditional on any regulatory clearances," it added in a statement.

B&M did not say if any jobs at the stores would be affected.

PwC, which is administering Wilko's future, last week announced the removal of almost 300 jobs at the group after the collapse of a rescue bid from M2 Capital.

Tuesday's development came as UK media reported that an agreement for the sale of about 300 Wilko stores to Canadian businessman Doug Putman, owner of British music store chain HMV, appeared to have hit problems.