Michelle ThompsonJoann, a fabrics and crafts retailer with over 80 years of history serving quilters, knitters, and craft enthusiasts, is closing all its stores and going out of business.
The decision follows the company’s second Chapter 11 bankruptcy filing within a year, citing weak consumer demand and inventory shortages. Despite initially pledging to keep stores open, Joann later announced plans to shut down 500 locations—over half of its stores.
Following a recent auction, financial services firm GA Group and Joann’s term lenders won the bid to acquire most of the retailer’s assets. They will oversee the company’s shutdown and conduct storewide liquidation sales.
Joann confirmed on its website that its stores, online platform, and mobile app will remain operational during the closing sales. The company will provide updates on store closures and website changes as final sales progress over the coming weeks.
Previously, Joann filed for Chapter 11 in March 2024 and transitioned into a private company. However, ongoing challenges led to another bankruptcy filing in January. The company stated it had explored all possible options to remain in business but is now working with the winning bidder to ensure an orderly closure while minimizing the impact on stakeholders.
Emily Martinez
