Woolworths’ biggest shareholder on Wednesday criticised talks between the retailer and Hilco UK, the retail restructuring company, arguing the group’s stores were worth much more than the nominal price under discussion.

Shares in Woolworths fell to their lowest ever level after the company acknowledged it was in talks to sell its 800-store retail division. Hilco UK, which invests in troubled companies, has indicated it would pay £1 for the stores and assume part of the group’s debt.