The baby products retailer said it was in a "perilous" financial position.
The retailer has already almost halved its store numbers over the past five years.
Frances Bishop owner of children's shop The Pud Store, said on Twitter the news had "been coming for a long time". It's yet another High Street chain that hasn't kept up with changing shopping habits and increasing competition.
The company plans cuts to its United Kingdom shop network under a company voluntary arrangement (CVA), a solution which must be approved by creditors and would also see rent reductions at 21 further outlets. One of the parties concerned, the Pension Protection Fund, has already said it will support the plans.
Mark Newton-Jones was sacked by the then chairman Alan Parker - who has himself subsequently stepped down.
Former Tesco executive David Wood, who was drafted in to replace Newton-Jones, will become group managing director.
Chairman Clive Whiley said: 'The recent financial performance of the business, impacted in particular by a large number of legacy loss-making stores within the United Kingdom estate, has resulted in an unsustainable situation for the Mothercare brand, meaning the group was in clear need of an appropriate resolution.
Mothercare also plans to raise £28m from shareholders through a share placing while it has also extended £67.5m in debt facilities with lenders as well as arranging £18m in credit with investors and trade partners.
Mothercare chairman Clive Whiley said: "These measures provide a solid platform from which to reposition the group and begin to focus on growth, both in the United Kingdom and internationally". It has more than 1,000 stores overseas, many of them operated as franchises.
Other retailers to pursue CVAs this year include Carpetright, House of Fraser and New Look, while Toys R Us and Maplin have gone into administration.
No specific details have been revealed as to stores facing closure.
It has also had to contend with surging wage costs and eye-watering business rate hikes.