Store Twenty One has appointed restructuring firm AlixPartners to oversee a company voluntary arrangement (CVA) for the chain.
The struggling 202-strong value fashion retailer, owned by Indian textiles firm Alok, had called in AlixPartners earlier this month to assess its future options.
As well as pursuing a CVA, Store Twenty One has placed its property subsidiaries Bewise and QS into administration.
AlixPartners’ Peter Saville said: “After careful consideration the directors have taken today’s decisions as these represent the best option in terms of preserving jobs and value within the group.”
He added: “Our focus now is on putting the restructuring plan into action by working closely with the management team and all other stakeholders in order to position the business to succeed in what is clearly an extremely competitive UK retail environment.”
It is not the first time Store Twenty One has hit challenging times. The retailer was in trouble three years ago when it sought rent reductions from landlords. It led to bailiffs visiting stores after the retailer failed to pay rent.