More than 250 jobs have been saved after the High Court ruled that Mothercare Ireland can exit examinership and continue trading.
The retailer will close two stores in Dublin – in Blackrock and Jervis Street – and one on Cruises Street in Limerick in early 2016, The Irish Times reports. Its remaining 15 stores will continue to trade, with some to be refurbished.
Mothercare Ireland is in consultation with staff affected by the store closures and and hopes to redeploy them within the business.
Mothercare Ireland, which is a franchise of Mothercare UK, entered examinership in July in the hope a restructure of the business would secure its long-term future in the face of high rents.
Yesterday, it said the restructure had led to a 30% rent reduction across the group’s portfolio.
Owner David Ward, who established the group in 1992 after previously running BHS, Habitat and Mothercare in Ireland for the Storehouse Group, is also to invest €750,000 (£537,000) into the business as part of the plan.
Examinership allows insolvent companies with a reasonable prospect of survival to seek court protection from creditors.
Mothercare Ireland continued to trade during the process and staff and suppliers were paid as normal.