A BUYER may have been found for two of the region's oldest department stores, sparking hopes that the jobs of more than 320 staff could be safe.

Administrators fighting to save the stores in Sunderland and Hexham, Northumberland, said yesterday that they were in talks with an interested party and confident of a sale.

The glimmer of hope came 11 weeks after parent company Owen Owen plunged into administration, putting the future of Joplings, of Sunderland, and Robbs, of Hexham, into doubt.

Yesterday, administrators Kroll said they were close to a deal that would not only save the two North-East sites, but also Owen Owen's flagship store, Lewis's, in Liverpool.

Philip Duffy, partner at Kroll's corporate advisory and restructuring group, named the potential buyer as Vergo Retail Limited and confirmed that contract negotiations were continuing.

However, he warned that there were no assurances the talks would lead to a sale.

"For the avoidance of doubt, there is no absolute guarantee that the proposed sale will take place. However, we remain hopeful of completing the sale of the business as a going concern in the near future," he said.

There are few details about Vergo, but it is understood to be a Liverpool-based business which was set up only last week to buy the three stores.

Owen Owen, which bought the two North-East department stores in 2005 for £8m, called in administrators at the beginning of March, blaming cashflow difficulties for its collapse.

Joplings, which has traded in Sunderland for more than 200 years, employs 180 staff directly, with another 106 people working in concessions, while Robbs, which opened in 1819, employs about 140 staff.

Both stores have continued to trade while administrators search for a buyer. It had originally been announced that Robbs would close last Saturday, but Kroll has continued to run the site on a day-by-day basis while talks with Vergo continue.