Bankrupt tween and teen store finds buyer, pauses liquidation sales at most stores

By Diane Mwai

Bankrupt tween and teen store finds buyer, pauses liquidation sales at most stores

Claire's Holdings announced it has agreed to sell a portion of its business operations to Ames Watson

The agreement "will allow the Claire's brand to remain a prominent retailer for teens, tweens, and young girls around the world," according to a court filing made Aug. 20.

The tween accessories and jewelry retailer filed for Chapter 11 bankruptcy Aug. 6, according to a press release. Claire's previously filed for bankruptcy in 2018.

Ames Watson, a Columbia, Maryland-based private holdings company with over $2 billion in revenue, will acquire at least 795 of Claire's North American stores along with Claire's IP.

Due to the agreement Claire's has paused the liquidation process of nearly 1,000 stores, while 13 stores and five Icing, a brand owned by Claire's, locations will close.

"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," said Chris Cramer, CEO of Claire's.

"We are glad to reach this definitive agreement to sell a portion of our North America operations to Ames Watson and maximize the value of our company for all our stakeholders. I would again like to extend my gratitude to every Claire's employee who has continued to show up for our customers during this challenging time for our business."

Lawrence Berger, Co-Founder of Ames Watson said his company looks forward to working with Claire's and supporting the beloved brand in its next phase.

"Claire's has built a powerful emotional connection with generations of consumers through its focus on self-expression, creativity, and accessible fashion. We are committed to investing in its future by preserving a significant retail footprint across North America, working closely with the Claire's team to ensure a seamless transition and creating a renewed path to growth based on our deep experience working with consumer brands."

Claire's will continue to provide updates on the sale process through court filings in the U.S. and Canada.

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