The Edinburgh Woollen Mill has been saved in a deal that will protect 1,453 jobs and keep 246 stores from closing for good, administrators have confirmed.
The retail chain entered administration in November, along with Jaeger and Peacocks, all of which are owned by retail tycoon Philip Day.
The news could provide a potential lifeline for hundreds of staff, although no further details have yet been released.
On Monday, Marks & Spencer signed a deal to take over Jaeger. However, it did not buy the Jaeger stores, so no jobs are expected to be saved.
Day’s deal with the potential Middle Eastern investors, which has yet to be finalised, could prove better for staff.
It would likely save the brands of Edinburgh Woollen Mill, Ponden Home and Bonmarche, with the Telegraph reporting that investors would inject cash into the business until the point when shops can reopen.
However, the deal will come too late for some, as around a third of the company's 2,571 employees have already been made redundant.
Peacocks, which is part of the Edinburgh Woollen Mill Group, remains in administration.
The high street has faced a double blow since coronavirus restrictions added to the pressure already being exerted by changing shopping habits as customers turn to online retail.
