Tesco buys Paperchase brand but not shops, with 800 jobs at risk

Paperchase has 106 stores across the UK and Ireland. Photograph: Andy Hall/The Observer

Tesco has bought the brand and intellectual property of Paperchase, after the struggling stationery retailer collapsed into administration.

However, the deal does not include Tesco taking on the brand’s 106 stores across the UK and Ireland, leaving the future uncertain for Paperchase’s 820 employees.

The deal follows a difficult few months for Paperchase after rising costs and disappointing sales.