House of Fraser (HoF) is proposing to begin a company voluntary arrangement (CVA) process in June.
Pending creditor approval, the store restructuring is expected to conclude in early 2019.
HoF did not disclose the number of shops earmarked for closure.
The company operates 59 stores across the UK and Ireland. It has more than 6,000 staff and 11,500 concession employees.
The decision forms part of a conditional agreement between Chinese parent company Nanjing Cenbest, a subsidiary of Sanpower, and Hamleys owner C.Banner.
Under the deal, C.Banner will acquire a 51% stake in HoF Group Ltd. The transaction, subject to bondholder and shareholder approvals, is expected to close by the end of June this year.
HoF chairman Frank Slevin said: “We need to go further and faster if we are to confront the seismic shifts in the retail industry. There is a need to create a leaner business that better serves the rapidly changing behaviours of a customer base which increasingly shops channel-agnostically.
“House of Fraser’s future will depend on creating the right portfolio of stores that are the right size and in the right location.”
