Modella Capital and Doug Putman are reportedly vying to acquire the UK operations of Claire’s, as administrators at Interpath field bids for the collapsed accessories chain’s estate of 278 UK shops and 28 in Ireland.

Sky News reported that Modella, which has agreed to buy 480 WH Smith stores and plans to rebrand them as TG Jones, submitted an offer in the past ten days, while Putman, whose Sunrise Records rescued HMV in 2019, has also tabled a bid. It is unclear which party is ahead or whether other bidders are engaged.

Claire’s entered administration in the UK in mid-August, with Interpath saying it would continue to trade the full estate while assessing options. Around 2,150 people work across the business, which has long been a fixture of British high streets and shopping centres. Sources cited by both outlets suggested any buyer could close scores of shops, retaining a core estate of roughly 100 viable locations.

Interpath is exploring a sale following an earlier marketing process in which bidders including turnaround specialist Hilco Capital are understood to have walked away.

Will Wright, UK chief executive at Interpath, said: “Claire’s has long been a popular brand across the UK, known not only for its trend-led accessories but also as the go-to destination for ear piercing. Over the coming weeks, we will endeavour to continue to operate all stores as a going concern for as long as we can, while we assess options for the company. This includes exploring the possibility of a sale which would secure a future for this well-loved brand.”

A takeover by Modella would extend the firm’s recent shopping spree in British retail. The investor agreed earlier this year to buy WH Smith’s UK high street arm for £40 million and already owns The Original Factory Shop and Hobbycraft, according to the reports. Retail Gazette noted that Interpath, Modella and Putman declined to comment on ongoing talks.

The UK process follows turbulence in North America. Claire’s US parent entered Chapter 11 a week before the UK administration and has since agreed to sell up to 950 US stores to private equity firm Ames Watson, according to Sky News. Any UK buyer would need to navigate shifting consumer demand, cost pressures on the high street and the likelihood of a slimmed-down footprint to restore the chain to a sustainable footing.

---