Paperchase: Coney Street, York, is closing down

Paperchase, in Coney Street, is one of the brand's 106 stores closing down across the country, with hundreds of its staff members likely to face redundancy.

Tesco has agreed to buy the stationery chain's brand, but not its shops or the workforce.

Paperchase, in Coney Street, is closing down (Image: Emily Horner)

This has come after the firm failed to secure a buyer after being placed on the market by retail veteran owner Steve Curtis.

The administrators from Begbies Traynor said that they would keep the shops open for a short time, and the York store has launched its closing down sale.

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The administrators said: "On January 31, Mark Fry, Kirstie Provan and Gary Shankland, of Begbies Traynor, were appointed as joint administrators of Paperchase.

“Unfortunately, despite a comprehensive sales process, no viable offers were received for the company, or its business and assets, on a going concern basis.

“However, there has been significant interest in the Paperchase brand and attendant intellectual property.

“The joint administrators will continue trading the company’s operations in the short-term, with all stores remaining open and trading as normal.”

Paperchase will continue to honour gift cards in the short-term but stressed it will “not be possible” to redeem these after two weeks.

Paperchase also fell into administration two years ago, with the closure of 37 stores.

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 our 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.”