Joann, the fabrics and crafts retailer, announced it will close all of its remaining stores, following roughly a year of financial turbulence.
After filing for Chapter 11 bankruptcy last month for the second time in under a year, Joann is going out of business and will shut down all 800 of its stores nationwide.
The more than eight-decades-old retailer announced plans in early February to close 500 of its 800 stores as part of its bankruptcy process and preparing to sell the company. But “after failing to find a buyer that would keep its stores open,” the retailer was pushed to close all remaining stores, per CBS News.
Joann assets were auctioned off on Friday. The winning bidder — the financial services company GA Group, together with the Prepetition Term Loan Agent — has acquired “substantially all of Joann’s assets,” per a statement from Joann.
The winning bidders plan to shut down current Joann operations and oversee going-out-of-business sales at all Joann stores, the statement noted.
Joann said its leadership team made “every possible effort to pursue a more favorable outcome that would keep the company in business.”
In March 2024, Joann filed for bankruptcy protection for the first time, noting “issues of higher production costs and decreasing customer demand,” as previously reported by the Deseret News.
The timeline for store closures has not been released, but Joann said going-out-of-business sales will begin at all locations immediately and expects sales will last for weeks. Products will be cut to “special prices” for the duration of the sale and gift cards will be accepted through Friday, Feb. 28.
“We deeply appreciate our dedicated Team Members, our customers and communities across the nation for their unwavering support for more than 80 years,” Joann said.