Crafts Retailer Joann Is Planning a Bankruptcy Filing That Would Hand Keys to Lenders
- Company may file for Chapter 11 as soon as next week
- Fabrics chain has been in talks with lenders for new cash
A shopper enters a Joann store location in Peoria, Illinois.
Photographer: Daniel Acker/BloombergThis article is for subscribers only.
Crafts retailer Joann Inc. is considering a bankruptcy filing as soon as next week as part of a deal that would hand control of the company to lenders while allowing it to shed expensive debt, according to people with knowledge of the matter.
The company, which sells fabric and craft supplies and has around 850 stores in the US, has been holding confidential talks with its lenders as it seeks fresh capital to bolster its cash reserves.