Claire’s has initiated a sale offering a discount of 40% on “everything” in its stores following the company’s move into administration.
The popular teen jewelry and accessories retailer appointed administrators for its UK and Ireland operations in August after filing for bankruptcy in the US.
As part of a rescue plan, Claire’s disclosed the sale of 156 high street stores to investment group Modella Capital, while the remaining 145 stores were not included in the deal.
Customers have reported significant discounts in stores, with one individual sharing on social media about the ongoing promotion offering 40% off everything (excluding piercing) and 50% off hair accessories.
While it remains uncertain if the sales are applicable in all Claire’s stores, it is advisable to visit your local branch to explore potential discounts available.
Will Wright, the UK chief executive at Interpath handling the administration process, announced, “Following an agreement between Modella Capital and Ames Watson in the US regarding the Claire’s brand, we are pleased to confirm the sale of the majority of Claire’s UK business and assets, ensuring the brand’s continued presence on UK high streets.”
Claire’s initially filed for bankruptcy in 2018 due to failure to repay a loan and has since been under the control of former creditors, including investment firms Elliott Management Corp and Monarch Alternative Capital LP.
Reports indicate that Claire’s accumulated losses amounting to £25 million over the past three years, with a £4.7 million loss in the year ending March 2024 and a decrease in turnover to £137 million.
In other retail news, the WH Smith brand has been replaced by TGJones on high streets following its acquisition by Modella Capital for £76 million, excluding the travel division encompassing airport, train station, and hospital shops.
Poundland, sold to investment firm Gordon Brothers for £1, has closed numerous stores as part of its restructuring plan, with the expectation of reducing its store count to between 650 and 700, down from approximately 800 stores.
Poundland also plans to shut down its distribution centers in Darton, South Yorkshire, and Bilston, West Midlands, by early 2026.