Claire’s is currently offering a 40% discount on all items in its stores following its shift into administration. The popular teen jewelry and accessories retailer sought administrators for its UK and Ireland operations in August after declaring bankruptcy in the US.
As part of a rescue strategy, Claire’s disclosed the sale of 156 high street stores to Modella Capital but excluded its remaining 145 stores from the deal. Customers have noticed significant price reductions, with one individual sharing on social media about the ongoing promotion offering 40% off all products (excluding piercing) and 50% off hair accessories.
While it is uncertain if the sales are active in all Claire’s outlets, it could be beneficial to visit your local store to explore potential discounts. Will Wright, the UK chief executive at Interpath overseeing the administration process, expressed satisfaction with the agreement between Modella Capital and Ames Watson in the US regarding the Claire’s brand. This deal secures 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 loan repayment challenges and has since been under the control of former creditors such as investment firms Elliott Management Corp and Monarch Alternative Capital LP. Reports indicate that the company accumulated losses totaling £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In other retail developments, the WH Smith brand has been replaced by TGJones on high streets following its acquisition by Modella Capital for £76 million. The purchase excluded the WH Smith travel division, which includes outlets in airports, train stations, and hospitals. Modella Capital specializes in retail investments and has previously supported brands like Hobbycraft and Paperchase.
Meanwhile, Poundland has shuttered numerous stores after its acquisition by investment firm Gordon Brothers for a nominal fee. The budget retailer, which recently received approval for its restructuring plan in the High Court, previously operated around 800 stores. Poundland anticipates the closures, combined with expiring leases, will reduce its store count to between 650 and 700 eventually. Additionally, the company plans to close its distribution centers in Darton, South Yorkshire, and Bilston, West Midlands, in early 2026.