After filing for bankruptcy for a second time and saying it could soon close more than 1,100 stores, Claire’s announced on Aug. 20 that it would be selling most of its North American business to private equity firm Ames Watson.
In a news release, Claire’s said the sale was done to “maximize the value of its business,” as well as to pause liquidation sales at most of its stores. In court filings earlier this month, Claire’s CEO Chris Cramer stated that liquidation sales would continue until a buyer was found.
Although a buyer was found, Claire’s announced that liquidation sales will continue at select stores, but did not specify which locations would be impacted.
“As we continue through our restructuring proceedings, our team has worked tirelessly to explore every option for preserving the value of the Claire’s business and brand,” CEO Chris Cramer said.
The Illinois-based company, which operates 1,326 stores across the United States, has faced financial challenges due to the rise of fast-fashion brands like Shein and Temu, high rent costs, and new tariffs from supplier nations, including China, according to documents filed with the bankruptcy court.
Claire’s will seek approval of the sale on Aug. 21 at a court hearing in Wilmington, Delaware.
Store closures amid hard times
As part of its ongoing bankruptcy process, 18 Claire’s-owned stores are set to close no later than Sept. 7 across the country. A map of closing stores can be found here. Find your local store by searching by city or state:
Founded in 1961 in Chicago, Claire’s specializes in selling necklaces, bracelets, and various accessories, including headphones and soft toys. For many American girls, getting their first ear piercing at Claire’s has become a “rite of passage” that has continued for decades. The company claims to have pierced over 100 million ears since 1978.
Contributing: Mike Snider, USA TODAY; and Reuters
Fernando Cervantes Jr. is a trending news reporter for USA TODAY. Reach him at fernando.cervantes@gannett.com and follow him on X @fern_cerv_.
This article originally appeared on USA TODAY: Claire’s says it has sold off most of its North American business
