Editor’s note: This item has been updated to contain the price tag of this deal.
Bankrupt tween retailer Claire’s Holdings LLC (Hoffman Estates, Ill.) has agreed to sell its business operations in North America to an affiliate of Ames Watson, which describes itself as a private holding company that purchases, transforms and partners with companies to create long term value. According to a court filing related to Claire’s bankruptcy, the purchase price was $140 million.
The move follows Claire’s filing for bankruptcy in both the U.S. and Canada earlier this month. At that time, the retailer said it was immediately shuttering 18 stores; in a subsequent court filing, Claire’s said it could close the rest of its 1236 stores by Oct. 31 if a buyer wasn’t found, and was also starting liquidation sales at many of its locales.
In the news release on the Ames Watson deal, the parties said the move will stop liquidation sales at “a significant number” of Claire’s stores, but they did not provide specifics. But in its coverage of the deal, Fast Company reported that could eventually translate into as many as 950 Claire’s stores staying open.
“Claire’s has built a powerful emotional connection with generations of consumers through its focus on self-expression, creativity and accessible fashion,” said Lawrence Berger, Co-Founder of Ames Watson. “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.”
Brands either owned or invested in by Ames Watson include Lids, LidsU, Unrivaled Teamwear, South Moon Under, Mitchell & Ness, Ebbets Field Flannels, Zygo, Hungry and Margaux.
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Honoring a Legacy: How Smith & Son Jewelers Exceeded Every Goal With Wilkerson
When Andrew Smith decided to close the Springfield, Massachusetts location of Smith & Son Jewelers, the decision came down to family. His father was retiring after 72 years in the business, and Andrew wanted to spend more time with his children and soon-to-arrive grandchildren.
For this fourth-generation jeweler whose great-grandfather founded the company in 1918, closing the 107-year-old Springfield location required the right partner. Smith chose Wilkerson, and the experience exceeded expectations from start to finish.
"Everything they told me was 100% true," Smith says. "The ease and use of all their tools was wonderful."
The consultants' knowledge and expertise proved invaluable. Smith and his father set their own financial goal, but Wilkerson proposed three more ambitious targets. "We thought we would never make it," Smith explains. "We were dead wrong. We hit our first goal, second goal and third goal. It was amazing."
Smith's recommendation is emphatic: "I would never be able to do what they did by myself."
