Claire's Stores Inc., a fashion accessories chain, has filed for bankruptcy.
The retailer and its affiliates have filed bankruptcy in United States Bankruptcy Court for the District of Delaware. The move could help with Claire's $2 billion debt load. "Claire's is growing, not shrinking, its business. The company expects its concessions business to grow by more than 4,000 stores in 2018," the company said in a statement.
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Apollo paid more than $3 billion to acquire Claire’s from Rowland Schaefer, and began expanding the business — adding about 350 stores between 2010 and 2013. Claire’s expects to reduce debt by about $1.9 billion, after reaching an agreement with creditors including Elliott Management Corp. and Monarch Alternative Capital, which will give the company some $575 million in new capital.
Claire’s has locations at The Greene Town Center, the Dayton Mall, the Mall at Fairfield Commons, Upper Valley Mall in Springfield and the Cincinnati Premium Outlets in Monroe.
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Claire's isn't the only retailer to file bankruptcy. Toys 'R' Us also filed for bankruptcy and plans to liquidate all of its stores in the U.S., including its locations in Miami Twp. and Beavercreek. Toys 'R' Us, Inc. voluntarily filed for relief under Chapter 11, in September 2017. Toys R Us was $5 billion in debt, as of April 29. At the time of bankruptcy, the company said it would close about one-fifth of its store locations. Closing sales are expected to conclude in April.
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