Joann Is Going Out of Business, Remaining Stores Will Conduct Final Sales

Fabrics and crafts retailer Joann is officially going out of business. After 80 years in the market, the company is closing its 800 stores nationwide in 49 states.

The announcement came after the company failed to find a buyer that would keep its stores open and sold all of its remaining assets to financial services company GA Group. “Subject to court approval of the transaction, the winning bidders plan to wind-down ongoing operations and conduct going-out-of-business sales at all JOANN locations,” the company said in a statement published Sunday on its website.

Some stores will remain open while GA Group and the Prepetition Term Loan Agent conduct going-out-of-business sales, which begin immediately. The official closure date of each location will be announced on the company’s website and app.

“We are committed to working constructively with the winning bidder to ensure an orderly wind-down of operations that minimizes the impact on all our stakeholders. We deeply appreciate our dedicated Team Members, our customers and communities across the nation for their unwavering support for
more than 80 years,” the company said in its latest statement.

Joann, previously called Jo-Ann Fabrics, filed for a Chapter 11 bankruptcy petition on Jan. 15 and tried to sell its assets to keep selected stores in operation. The company had previously filed for Chapter 11 in March 2024, exiting the process six weeks later as a private company owned by its creditors.

WWD reported in January that, according to Coresight Research, a research and advisory firm specializing in retail and technology, approximately 15,000 stores will close this year in the U.S. In 2024, U.S. store closures totaled 7,325, the highest number of store closures seen since 2020. Macy’s, Kohl’s and Liberated Brands are some brands that have already announced plans to downsize or completely shut down this year.