Michaels has officially announced that it has acquired the bankrupt Joann Fabrics’ intellectual property as well as private label brands on the 5th of June 2025. This move of the company can be perceived as a move to attract the customers of the rival brand. It has also taken over key private labels like the Big Twist brands. If you are someone who wants to know more about Michaels’ acquisition of Joann Fabrics, the following article is for you. It brings you all the key information you need to know about the acquisition and Michaels’ future plans.
What Did Michaels, CEO, Say About The Acquisition Of Joann Fabrics?
David Boone, who is currently serving as the CEO of Michaels, released a press statement regarding the acquisition of Joann Fabrics. In the statement, he mentioned how this acquisition is going to allow them to serve both new as well as existing customers in a better way. It will also help them cater to the rising demand across categories as well as build their momentum as the destination of creation and celebration in North America.
What Are The Future Plans Of Michaels After Acquiring Joann Fabrics?
Michaels is reportedly planning to expand their fabric, sewing, and yarn assortment, adding over 600 more products. These products will also include Brother and Singer sewing machines, Oliso Smart Irons, and DMC Loops & Threads needlecrafting kits. The company has already increased its fabric assortment in over 680 of its stores. According to what the reports suggest, it will also expand the fabric assortment in an additional 280 stores this year. Michaels already has over 1,300 stores in both the US as well as Canada. It also reported that the company is going to start offering over 60 new Loops & Threads yarns both online and offline. Yarn collections from Bernat, Lion Brand, and Red Heart, along with the products from Big Twist, will also be made available.
Joann Fabrics’ Chapter 11 Bankruptcy Filed In January
Joann Fabrics’ Chapter 11 bankruptcy protection, which was filed in the month of January, was not the first one. The company also filed for another bankruptcy before this in the month of April last year. It completed reconstruction and also got delisted from the stock exchange, becoming a private company later. The company, during the Chapter 11 bankruptcy protection, stated that it was going to sell substantially all of its assets with the court’s approval. The reasons behind the bankruptcy, according to the company, were significant, as well as lasting challenges in the retail environment. Joann Fabrics closed over 800 stores that were spread across the United States of America.
Michaels Directs Joann Fabrics’s Customer To A Dedicated Page
The customers who are still unaware of the acquisition and are still visiting Joann Fabrics’ website are now getting redirected to a dedicated Michaels landing page. Michaels has done this so that the former customers of Joann Fabrics can easily navigate through their product assortments as well as new arrivals. This move is definitely an attempt to attract Joann Fabrics’ existing fan base toward their brand.
