STATIONERY retailer Paperchase has fallen into administration, with its two Belfast stores now expected to shut.
Confirmation of the high street chain’s collapse on Tuesday was swiftly followed by Tesco announcing it had bought the Paperchase brand and intellectual property.
But that deal does not include staff or the 106 physical stores, meaning they are at high risk of closure.
Paperchase opened a new store at the Forestside shopping centre in south Belfast in November, adding to its city centre store, which has operated on Belfast’s Arthur Street for a number of years.
It also operates two stores in Dublin.
The company, which employs 820 people, hired administrators from Begbies Traynor on Tuesday morning after the struggling business was unable to secure a rescue sale.
The administrators said: "Unfortunately, despite a comprehensive sales process, no viable offers were received for the company, or its business and assets, on a going concern basis.”
Paperchase stores remained open and trading following Tuesday’s announcement.
Confiming Tesco’s acquisition of the paperchase brand, Jan Marchant, managing director of home and clothing at Tesco, said: "Paperchase is a well-loved brand by so many, and we're proud to bring it to Tesco stores across the UK.
"We have been building out plans to bring more brands and inspiration to the ranges we currently offer, and this will help us to take those plans further.
"We look forward to sharing more with our customers in due course."
Set up in 1968, Paperchase fell into administration two years ago, with the closure of 37 stores.
