Business
Joann announced that she would make their doors in February, only a month after having applied for the bankruptcy of chapter 11.
In this file photo of April 24, 2020, customers are aligned outside a Michaels store in Houston. (AP photo / David J. Phillip, file) AP
New York (AP) – The craft labels of the now closed fabric seller Joann are heading for a new house: Michaels.
Michaels companies announced Thursday that it had completed its purchase of intellectual property and private brand brands of Joann – in an acquisition that arrives while the artistic and craft channel based in Texas works to extend its own offers of fabric, sewing and thread.
“We are honored to have the opportunity to welcome Joann’s customers to our creative community and we are committed to providing the selection, value and inspiration they are looking for at Michaels,” said Michaels CEO David Boone, in a statement. The agreement, he added, allows the company to better “meet growing demand” among new and existing customers.
The financial conditions of the acquisition have not been disclosed. Friday, the Associated Press contacted Michaels for more information.
With roots dating back to a single display of Ohio in 1943, Joann had become a destination For generations of sewers, courtes, knitters and lovers from other professions for more than 80 years. But more recently, operational challenges have continued to accumulate – the retailer pointing to consumer demand, inventory shortages and growing competition.
Joann announced that it would be go bankrupt In February, only a month after having applied for the bankruptcy protection of chapter 11 for the second time in a year. At the time, the company said that the financial service company Ga Group, in collaboration with Joann’s long-term lenders, had been selected as a winning tenderer to “acquire almost all of Joann’s assets” and make exit sales in all stores.
Michaels said Thursday that his purchase of Joann IP and private brands included the acquisition of “Big Twist” threads, which had become a must in Joann stores over the years.
These “Big Twist” labels are now under development as part of the Michaels portfolio – and will be available in stores and online later this year, the company said. In the meantime, Michaels has also devoted a destination page to accommodate old online Joann customers.
And as part of its global expansion in the fabrics, Michaels said Thursday that it adding more than 600 new products of new and existing brands – including shortpoint supplies and fabrics, specialty wires, sewing machines and more.
Michaels, founded in 1973, is currently operating 1,300 stores in 49 American states and Canada. His parent company also has an artistic, a manufacturer of framing goods.
