Paperchase in Winchester is to close after the stationery company went into administration.

Signs popped-up in the windows to the St George's Street branch today (February 1), with all stock currently 20 per cent off.

The company went into administration yesterday (January 31) and announced that 106 stores would be closing.  

Tesco announced a deal to buy the brand and intellectual property, but not the stores.

The administrators said: “On January 31, Mark Fry, Kirstie Provan and Gary Shankland, of Begbies Traynor, were appointed as joint administrators of Aspen Phoenix Newco Limited, which trades as Paperchase.

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“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.”

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.”

Staff in the St George's Street shop have declined to comment.