Two Aberdeen stores will continue trading – after administrators were appointed at a discount retailer.
Deloitte has been given the task of finding a buyer for Poundworld as the company looks to restructure its business.
Poundworld, which is owned by TPG Capital, has 335 stores including on Union Street and at the Beach Boulevard Retail Park in Aberdeen.
Challenging times in the retail industry have been blamed for the appointment of administrators, with last-ditch rescue talks with R Capital breaking down over the weekend.
A branch of the company closed at Kittybrewster Retail Park in May 2016.
The firm has more than 5,100 employees, but Clare Boardman from Deloitte said no redundancies or closures are planned at the moment.
She said: “The retail trading environment in the UK remains extremely challenging and Poundworld has been seeking to address this through a restructure of its business.
“Unfortunately, this has not been possible. We still believe a buyer can be found for the business or at least part of it and we are keeping staff appraised of developments as they happen.
“We thank all employees for their support at this difficult time.”
Aberdeen Central MSP Kevin Stewart said: “It’s very sad to hear another high street chain is falling on hard times, and I would urge the administrators to focus and do everything possible to ensure shops can remain open and jobs are retained.
“This will obviously be a worrying time for staff and folk in Aberdeen who work at Poundworld shops here, and I hope they are getting the support to cope with that stress. It is vital this matter is resolved and a solution is found as soon as possible.”
Trade Union Usdaw has raised concerns regarding the difficulties faced by Poundworld.
Usdaw national officer Dave Gill said: “We are hopeful the administrators will engage with us to help save jobs. We welcome the initial approach to continue to trade.”