The High Court has appointed liquidators to the companies which operate the EuroGiant chain.
The discount retailer has 77 stores across the country, employing around 640 staff, which are now under threat.
EuroGeneral Limited and Bushgrove Limited, which trade as EuroGiant, have blamed “rising costs” for the decision.
A spokesperson for EuroGiant said after more than 30 years of trading, “the company has today entered court-appointed liquidation”.
“Rent and day-to-day operating expenses, along with increased competition in the retail sector, mean the business is no longer viable in its current form,” the spokesperson added.
EuroGiant stores will “remain open and continue trading as normal” while a full review of the store network is carried out.
Mark Degnan and Brendan O’Reilly of Interpath have been appointed by the court to manage the liquidation process.
The spokesperson for the Irish retailer said the company’s thoughts are with the staff affected, and “we want to sincerely thank them for their hard work and commitment over many years”.
The founder of EuroGiant, Charlie O’Loughlin, said it was “a very hard day” for him personally.
“I founded this business over 30 years ago and I never imagined it would end like this,” he said in a statement.
Mr O’Loughlin has apologised to the workforce following the appointment of the liquidators.
“What matters most to me now is our staff. Many people have given a huge part of their working lives to the company, and I know how worrying and unsettling this will be for them and their families. I am deeply sorry that this is where things have gotten to.”
“We did everything we realistically could to keep the business going, but the pressures it faced over time meant that was no longer possible. My focus now is on supporting an orderly wind-down of the business and working with the liquidator to achieve the best possible outcome for employees.”
EuroGiant was established as a single store on Moore Street in Dublin in 1990.
It later expanded nationwide, with a presence in over 20 counties, including Carlow, Cavan, Clare, Cork, Donegal, Galway, Kerry, Kildare, Kilkenny, Laois, Limerick, Longford, Louth, Mayo, Meath, Monaghan, Offaly, Roscommon, Sligo, Tipperary, Waterford, Westmeath, Wexford and Wicklow.