A rescue deal for a High Street retailer has proved to be good news for one York city centre store.
Paperchase called in administrators from PwC after it saw sales slide on the back of significantly lower footfall amid coronavirus restrictions.
Last week PwC secured a rescue deal for the stationer – but one that would still see 37 of its 127 stores close.
Today, however, a spokesman of PwC told YorkMix: “I can confirm that the Coney Street outlet will be one of those that is to remain open.”
However, he couldn’t give the same assurance about the city’s other branch of Paperchase, at York Designer Outlet.
“The York Outlet branch is one of the stores which at present there has been no final decision made,” he said.
Newly formed company Aspen Phoenix Newco, which is backed by Permira Debt Managers, has to taken control of the retailer.
Paperchase employed 1,278 staff across its store portfolio, head office function and its distribution centre.
Zelf Hussain, joint administrator and restructuring partner at PwC, said: “This sale has preserved jobs, customer relationships and maintained a trading partner for suppliers despite one of the most challenging economic climates for many years.”
Chair of York Retail Forum Phil Pinder welcomed the news that the city centre store would reopen when Covid restrictions eas.
“It’s marvellous news, and great to hear that Paperchase is safe,” he said.
“I look forward to popping in for a new notebook once lockdown ends.”