The company has appointed advisers
Claire’s Accessories could be set to close a third of its 280 branches as it struggles to compete in the current climate. The jewellery and fashion chain has appointed a company to help it find a new buyer – it has been reported.
The company is considering options for its operations in the US and the UK. Claire’s is working with Interpath Advisory on restructuring – which could mean closures – or sale. Even if the chain is sold, many of the branches could go.
One retail industry expert told Sky that as many as a third of the shops in the UK could close to save the others. Claire’s Stores Inc, the US-based parent company, is considering filing for bankruptcy protection.
The company, which has 2,000 stores globally, is owned by Elliott Management and Monarch Alternative Capital following a previous restructuring. R etail investors including Modella Capital and Gordon Brothers could be among those interested in Claire’s British business.
Claire’s could not be reached for comment. Interpath declined to comment.
Claire’s Accessories — commonly known simply as Claire’s — is a retailer specialising in accessories, jewellery, and ear piercing services, mainly targeting tweens, teens, and young adults. It was f ounded in 1961 by Rowland Schaefer as Fashion Tress Industries, which originally sold wigs and fashion hairpieces.
Schaefer acquired Claire’s Boutique, a small retailer with just a few stores and the company shifted its focus from wigs to fashion jewellery and accessories, renaming the business to Claire’s Stores, Inc.
Claire’s began expanding globally, opening stores across Europe, Canada, and Japan in the 1990s. Claire’s was acquired by Apollo Global Management, a private equity firm, for over $3 billion, taking the company private in 2007.
It f iled for Chapter 11 bankruptcy protection in 2018 to restructure $2 billion in debt.