High street fashion retailer Internacionale has been sold as part of a prepack administration, in a move that safeguards 1,550 jobs and the majority of its stores in the UK and Northern Ireland.

The retailer, which operates 132 stores, appointed Thomas Jack and Samuel Woodward of Ernst & Young as joint administrators today (12 July), after efforts to restructure the business failed.

The administrators immediately sold the fashion retailer's business and assets  as a going concern to Internacionale UK, is a new company set up by existing shareholders.

The move safeguards 114 of its stores, head office and finance operation. The remaining stores are not included in the sale will close with immediate effect.

“The business has been significantly loss making over recent years and although the directors have sought to restructure and reposition Internacionale, with significant cash investment from shareholders, it has not proved possible largely because of the high fixed costs of the business," explained Jack.