Tesco buys Paperchase name after stationery firm goes into administration

Tesco has bought the Paperchase brand and intellectual property after the stationery chain entered administration today.

A new Paperchase shop opened in Telford Town Centre in October
A new Paperchase shop opened in Telford Town Centre in October

However, the supermarket chain's deal for the business will not include any of the retailer's 106 stores and the move is therefore expected to impact hundreds of jobs.

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."

The stationery chain entered administration after efforts to find a buyer for the business were unsuccessful.

Paperchase has shops in Telford and the Merry Hill shopping centre. It also has concessions in major Next stores including at Wolverhampton and Wednesbury.

The Telford Town Centre store only opened in October last year.

The stationery retailer, which was created in 1968, appointed Begbies Traynor as its administrator.

Begbies Traynor said in a statement: "On January 21, Mark Fry, Kirstie Provan and Gary Shankland, of Begbies Traynor, were appointed as joint administrators of Aspen Phoenix Newco Limited, which trades as 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 said it would "strongly urge" customers to redeem gift cards as soon as possible because they will not be accepted after two weeks.

Begbies Traynor said that it would continue to monitor trading in stores and provide further updates in "due course".

All 106 stores will remain open for the time being, the firm said.

Top Stories

More from the Shropshire Star

UK & International News