The deal, subject to court approval, will see stores rebranded to Vodafone over the coming weeks.
Rob Hunt, joint administrator and PwC partner said: "We have worked rapidly over the course of the week following our appointment to explore interest in the Phones 4u business and we are very pleased to secure a future for a significant number of stores and continued employment for 887 of the Phones 4u people.
"While this deal remains subject to the approval of the UK courts, we are confident that this represents the best available transaction for the Company’s creditors.”
Earlier today, administrators made redundant 628 staff at Phones 4U headquarters at Newcastle Under Lyme.
On Wednesday, Dixons Carphone offered jobs to 800 Phones 4U staff. The failed retailer, which went into administration on Monday, has 5,569 staff in total.
