Bankrupt jewellery chain Claire’s has agreed to sell a substantial part of its North American business and intellectual property to private investment firm Ames Watson, pausing some store liquidations while it seeks court approval in the US and Canada.

The retailer, which operates more than 2,300 outlets across 17 countries, entered Chapter 11 protection in Delaware earlier this month after revealing liabilities of about $690 million. It said the proposed transaction would “significantly benefit the Company’s efforts to create value through its Restructuring Proceedings”.

Chris Cramer, Claire’s chief executive officer, welcomed the agreement, saying it would “maximise the value of our company for all our stakeholders” (https://www.reuters.com/business/retail-consumer/bankrupt-jewelry-retailer-claires-sell-its-north-america-business-2025-08-20). [${DIA-SOURCE}](reuters.com/8a) Lawrence Berger, co-founder of Ames Watson, said his firm was “committed to investing in its future by preserving a significant retail footprint across North America”.

Under the terms, Ames Watson will acquire a “significant number” of stores while liquidations continue at outlets excluded from the sale. Financial details were not disclosed, but Claire’s said the deal, once sanctioned by judges, would provide a platform for renewed growth.

The move follows years of headwinds for the Chicago-founded brand, which specialises in low-cost jewellery and ear-piercing services. Rising competition from fast-fashion rivals, higher tariffs on Chinese imports and a heavy debt load have eroded margins. Claire’s first restructured in 2018, shedding $1.9 billion of debt, yet was unable to stabilise trading as footfall shifted online.

While North American operations seek a buyer, Claire’s UK division has collapsed into administration, threatening more than 2,000 jobs at 306 stores. “This decision, while difficult, is part of our broader effort to protect the business and its stakeholders while options for the future continue to be evaluated,” Cramer said in a separate statement to The Times

Administrator Will Wright of Interpath Advisory said the team would “endeavour to continue to operate all stores as a going concern for as long as we can, while we assess options for the company”. Potential buyers, including restructuring specialist Hilco Capital, are reported to be examining the business, though analysts warn that sustained losses and changing consumer tastes diminish its appeal.

Court hearings on both sides of the Atlantic are expected within weeks. Until then, Claire’s customers can still shop and have their ears pierced, but the long-term shape of the 63-year-old brand now rests with creditors and prospective owners.

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