Joann (Hudson, Ohio) is closing all 800 its stores after failing find a buyer to operate it as a going concern. The company disclosed that news in a statement posted on its website dedicated to detailing its plans to navigate the Chapter 11 restructuring process.
The struggling fabrics/crafts retailer said it was moving forward with plans for nationwide going-out-of-business sales in an agreement with GA Group, a liquidation firm backed by Oaktree Capital Management that secured its assets at auction. The retailer said it was plagued by sluggish consumer demand and inventory shortages.
“Joann leadership, our board, advisors and legal partners made every possible effort to pursue a more favorable outcome that would keep the company in business,” the statement said. “We are committed to working constructively with the winning bidder to ensure an orderly wind-down of operations that minimizes the impact on all our stakeholders.
The closings come on the heels of Joann filing for bankruptcy last month for the second time in less than a year. The retailer subsequently announced it was working to put together a deal that would have kept 300 of its stores open, but that pact with Gordon Brothers was not the winning bid at auction. The retailer first filed for Chapter 11 in March 2024, but emerged a few weeks later as a private company and kept all its stores open.