Claires has rolled out a promotion offering a 40% discount on “everything” at its stores following the company’s move into administration. The popular teen jewelry and accessories retailer took this step after appointing administrators for its UK and Ireland operations due to a bankruptcy filing in the US.
As part of a rescue plan, Claire’s disclosed the sale of 156 high street outlets to investment group Modella Capita, though this deal did not cover the remaining 145 stores. Customers have already noted significant markdowns in stores, with one individual sharing on social media about the ongoing promotion offering 40% off everything except piercing items and 50% off hair accessories.
While it remains uncertain if the discounts are available at all Claire’s stores, it might be beneficial to visit a local branch to explore potential savings. Will Wright, the UK chief executive at Interpath overseeing the administration process, expressed optimism about the future of the brand following the agreement between Modella Capital and Ames Watson in the US.
Claire’s initially filed for bankruptcy in 2018 due to loan repayment difficulties and has since been under the control of former creditors, including investment firms Elliott Management Corp and Monarch Alternative Capital LP. The company reportedly incurred 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In other retail developments, the WH Smith brand has been replaced by TGJones on high streets, following Modella Capital’s acquisition of WH Smith for £76 million. However, the deal did not encompass the WH Smith travel division, which includes locations in airports, train stations, and hospitals. Modella Capital, known for investing in retailers, has previously supported chains like Hobbycraft and Paperchase.
Additionally, Poundland has shuttered numerous stores after being acquired by investment firm Gordon Brothers for £1. The budget retailer, which recently had its restructuring plan approved in court, previously operated around 800 stores. Poundland anticipates further closures, alongside lease expirations, resulting in a reduced store count to between 650 and 700 in the future.
Furthermore, Poundland is set to close its distribution centers in Darton, South Yorkshire, and Bilston, West Midlands, in early 2026 as part of its restructuring efforts.
