The owner of Bargain Booze revealed plans to raise up to GBP65 million in an initial public offering. Bargain Booze is based in the north of England. It currently operates a chain of more than 600 outlets and is now targeting shoppers in the southeastern part of the country.

"Value has been totally democratised. Everyone understands the importance of value now," said chief executive of Crewe-based Conviviality Retail, Diana Hunter. She wanted to replicate the successes of low-cost retailers such as Lidl and Poundland. Both retailers have proved to be prosperous even in locations such as the southeast in the course of the economic downturn.

Cut-price alcohol made available by discount retailers and supermarkets has been a frequent gripe for government representatives. The health lobby says that the retailers involved have effectively promoted unhealthy drinking patterns.

Bargain Booze, which at current valuations would have a market capitalisation of somewhere between GBP62.5 million and GBP70 million, will make use of about 10% of the shares as an incentive for franchisees who achieve specified targets.