Claire’s Sells North American Operations Post-Bankruptcy

Claire’s sells its North American business. The children’s and teen accessories company has announced the sale of its North American business to private equity firm Ames Watson. The sale price has not yet been disclosed, but the company is making this decision after filing for bankruptcy in an attempt to reduce its losses.

The company,which operates more than 2,300 stores in seventeen countries in North America and Europe, carries a debt of $690 million. This is the second time the company has filed for bankruptcy in the country; the first, in 2018. The operation still requires court approval.

Ames Watson is an investment company with revenues in excess of $2 billion, the company reports on its website. According to Claire’s CEO Chris Cramer, this transaction will “maximize the value of the company,“ which is going through difficult times in the face of “increasing competition, rental rates and tariffs.“

Although Claire’s has halted the liquidation process in some of its North American stores, the company is continuing with the same in others.

This is the second time Claire’s has filed for bankruptcy in the United States in less than ten years

In early August, Claire’s filed for bankruptcy protection in the United States. Among the circumstances that led to the filing were a $477 million debt maturing in December 2026, falling consumption in the U.S. and, above all, rising costs resulting from increased tariffs imposed by the U.S. on China, Claire’s’ main sourcing market. Shortly thereafter, the company’s plans were to do the same with the Canadian business.

Claire’s situation in other markets is not optimal either. Days after announcing its bankruptcy in the United States, Claire’s filed for bankruptcy in two other markets: the United Kingdom and Ireland.

Founded in 1974, the company defines itself as a shopping destination for jewelry, cosmetics, accessories and piercing for girls and teenagers between the ages of 3 and 18. In addition to the Claire’s chain, the company owns Icing, which targets an older audience.