Is Claire’s Going Out of Business? The Must‑Know Update (August 2025)
Status check • August 24, 2025 (Europe/Istanbul)
1) Chapter 11 Filing in North America
On August 6, 2025, Claire’s filed for Chapter 11 bankruptcy protection in the U.S. Drivers included high debt, softer mall traffic, rising supply costs, and competition from online and fast‑fashion players.
2) Early Plan: Widespread Store Closures
Following the filing, the company signaled plans to shutter roughly 700 U.S. stores. If no buyer was found, liquidation across up to ~1,500 North American locations (including certain in‑Walmart formats) was on the table.
3) The Reversal: Buyer Deal Pauses Liquidation Risk
On August 20, 2025, Claire’s announced a deal with private‑equity firm Ames Watson to acquire its North American operations and IP. The package includes $104M cash, a $36M seller note, and assumption of specific liabilities. Subject to court approval, this could keep approximately 795–950 locations open and slow broad liquidation.
4) Europe & the U.K.: Administration and Uncertainty
In Europe, proceedings are separate. In the U.K., Claire’s entered administration, putting 300+ stores and roughly 2,000 jobs at risk. Outcomes may vary by country and remain fluid.
Quick Status Table
| Region | Status |
|---|---|
| North America | Aug 6: Chapter 11 → closure plan → Aug 20: Ames Watson deal offers a path to preserve ~795–950 stores, pending court approval. |
| Europe/U.K. | Administration underway; 300+ stores and ~2,000 jobs face elevated risk. |
Bottom Line: Is Claire’s Going Out of Business?
Not completely—and it depends on the region. In North America, the Ames Watson deal provides a lifeline and could keep many stores operating (with a smaller footprint). In parts of Europe, including the U.K., administration continues to create uncertainty for stores and jobs.
Sources & Further Reading
- WSJ — Bankrupt Claire’s Finds Buyer to Keep Stores Open
- Reuters — Claire’s to sell North America business (Aug 20, 2025)
- Forbes — Bankruptcy & liquidation risk analysis
- Wikipedia — Claire’s (timeline & background)
- The Times — U.K. administration & jobs risk