Claire’s, a popular accessories retailer known for its in-store ear piercing services and youthful fashion jewelry, is seeking bankruptcy protection. The parent company, Claire’s Holdings LLC, mainly operates under two brand names, Claire’s and ICING.
Highlights
- Claire’s Holdings LLC and its subsidiaries have announced their entry into the Chapter 11 proceedings.
- The bankruptcy filing is an effort to restructure its debt and explore asset sales.
- Filed on August 6, 2025, the case does not impact day-to-day operations, and Claire’s stores across North America will remain open.
Claire’s Voluntarily Files for Chapter 11 Under Financial Pressure
On August 6, 2025, Claire’s Holdings LLC, based at 2400 West Central Road, Hoffman Estates, IL 60192, filed for Chapter 11 bankruptcy. The company is in discussion with its partners to look for a better strategy and monetize the business assets in the best possible way through bankruptcy proceedings.
The case has been filed in the Delaware Bankruptcy Court, and the company plans to undergo the same process for its Canadian affiliate under the Companies’ Creditors Arrangement Act (CCAA).
Details of Case Proceedings
According to court records from PacerMonitor, several Claire’s subsidiaries have also filed separate petitions under the same bankruptcy case. The company has 25,001-50,000 creditors and $1,000,000,001 to $10 billion amount of assets and liabilities.
“This decision is difficult, but a necessary one. Increased competition, consumer spending trends, and the ongoing shift away from brick-and-mortar retail, in combination with our current debt obligations and macroeconomic factors, necessitate this course of action for Claire’s and its stakeholders,” said Chris Cramer, CEO of Claire’s. “We remain in active discussions with potential strategic and financial partners and are committed to completing our review of strategic alternatives.”
Here are some of the important counsels and advisors involved in the case:
- Legal Counsel – Kirkland & Ellis LLP
- Canadian Legal Counsel – Osler, Hoskin & Harcourt LLP
- Investment Banker – Houlihan Lokey
- Restructuring Advisor – Alvarez & Marsal
Claire’s plans to keep its stores open throughout the bankruptcy process. The company is also seeking court approval to access cash and continue paying employees during restructuring.
