Carpetright’s future is understood to have been secured but the vast majority of its 1,800 staff are set to lose their jobs under a limited rescue deal.
It is believed that rival floorings retailer Tapi will confirm it is buying just 54 of 272 stores and two warehouses in a so-called pre-pack administration that allows a buyer to cherry pick assets.
The deal would see, however, just 300 staff retained.
The brand and Carpetright’s intellectual property rights are also believed to be included in the sale.
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It emerged more than a week ago that the retailer was on the brink of administration.
Tapi was yet to confirm the numbers involved and withdrew an initial announcement confirming the details.
However, Kevin Barrett, chief executive of Carpetright’s parent firm Nestware Holdings, said in a separate statement: “Our focus over the last week has been to secure external investment to ensure job security for a number of our Carpetright colleagues up and down the country.
“Whilst we succeeded in finding a buyer, the deal is limited to a select number of stores rather than the business as a whole and will sadly impact a large number of colleagues and staff.
“We have tried everything to turn Carpetright around and I’m truly sorry that we were unable to save more jobs.
“The deal will not affect Carpetright in Europe or other brands within Nestware Holdings including Keswick and Trade Choice.
“The Floor Room will continue to trade and serve customers via concessions at John Lewis and we will be working hard to secure job opportunities across these businesses to support Carpetright staff wherever we can.”
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Carpetright’s head office in Purfleet, Essex, is understood not to be included in the sale.
Tapi was founded in 2015 by Lord Harris of Peckham, who also founded Carpetright.
He sold all his stock in Carpetright in 2014.
Tapi runs about 175 shops across the UK currently.