Aspen Phoenix NewCo, a newly incorporated company backed by private equity firm Permira Debt Managers, has rescued stationery and greetings card retailer chain Paperchase out of administration.

The pre-pack administration deal could save around 1,000 of jobs with the retaining of up to 90 of the chain’s 127 stores.

Earlier this month, Paperchase filed a notice to appoint administrators from PwC to save its business.

Paperchase CEO Olly Raeburn said that the “tough but necessary” action was required to safeguard the company’s future.

Following the acquisition, Aspen Phoenix NewCo will operate the retailer in a “smaller and more streamlined manner”, with a “more relevant” footprint on the UK.

At the time of appointing administrators, Raeburn stated that the company suffered from a collapse in sales.

The impact of lockdowns and associated measures implemented in the country to curb the spread of Covid-19 and new coronavirus variants severely hit several businesses, especially non-essential retail.

Paperchase is the latest UK retailer to secure a rescue deal, originally purchased by private equity firm Primary Capital in 2010.

Recently, online retailer Boohoo acquired department store Debenhams in a £55m deal, leaving up to 12,000 jobs at risk.

Online fashion giant ASOS and Boohoo also held exclusive discussions with Arcadia administrators to buy its assets out of administration.