Adams Childrenswear has been sold to former owner John Shannon, bringing the UK retailer out of administration and saving 1,900 jobs.

Administrators PricewaterhouseCoopers announced the sale of the business and assets of Adams to JS Childrenswear Limited - a newly formed company backed by Shannon.

JS will keep over 120 Adams retail outlets going on the UK high street. Financial details of the purchase were not disclosed.

Rob Hunt, joint administrator and partner at PricewaterhouseCoopers LLP said: "We are delighted to be able to secure this business sale and provide some much needed stability for customers, suppliers and employees alike in these uncertain times.

"The support of these stakeholders has been crucial over the last month or so and I would like to thank them for their support throughout this difficult period."

Shannon, ex-chairman of Stead & Simpson and Country Casuals, originally bought Adams out of administration in February 2007.

However, the children's wear chain entered administration again on 29 December last year, followed shortly afterwards by the closure of 111 out of its 270 outlets, with the loss of 850 jobs.

Hunt added: "The new company will continue to trade under the Adams name, meaning this brand will not be one of the retail names disappearing from the high street in the current recession.

"The sale was one of a number of expressions of interest and represented the best deal for all stakeholders.

"This transaction also demonstrates that with the right business model, retailers can be rescued from administration in the current economic climate."