National flooring chain Carpetright has announced plans to shut a further 81 stores in a drastic attempt to stay afloat.
The chain, which has already closed 11 stores announced its plans on Thursday (April 12) as well as its intention to tap investors for a further £60 million.
However, Carpetright aims to cut rent at a further 113 stores, through Company Voluntary Arrangements, but these stores have not been identified.
The company restructure is expected to lead to 300 job losses nationwide, although Carpetright has said that it hopes to relocate staff wherever possible.
The group employs nearly 2,700 staff in total, and also confirmed an investor cash-call to raise around £60 million through a rights issue to put the company on a firmer financial footing.
The details came as it revealed a "technical breach" of its banking arrangements, but the group said it was taking action to address this and ensure it is amended for the future.
The news comes after retail giants Toys R Us and Maplin entered administration at the end of February, threatening 5,700 jobs while Prezzo published proposals to close 94 restaurants, putting 1,000 roles at risk.
Mothercare is another retailer which has warned shareholders about falling profits .
Carpetright chief executive Wilf Walsh said: "These tough but necessary actions will enable us to address the burden of a legacy UK property estate consisting of too many poorly located stores on unsustainable rents, and are essential if we are to restore our profitability and deliver a successful turnaround.
"We will remain in close contact with all colleagues to keep them fully informed as we move through this process."
Shares in Carpetright tumbled more than 23% at one stage after details of the proposals and rights issue.
The firm, which has 409 UK shops, said trading had remained "difficult" since its last update on March 1, with the group continuing to expect a small underlying loss for the year to April 28.
It said the Company Voluntary Arrangement - which is a form of insolvency aimed at protecting a business from going bust by cutting its costs - will help it to "address the competitive threat from a position of strength".
Landlords will vote on the plans on April 26, while shareholders will have their say on April 30.
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