Francesca’s Acquisition LLC, the parent company of women’s boutique chain Francesca’s, has filed for Chapter 11 bankruptcy. The company plans to close all stores in an orderly process and has launched a clearance sale to liquidate inventory.
Francesca’s Acquisition LLC Seeks Bankruptcy Protection
According to the latest details on PACER, Francesca’s Acquisition LLC made a voluntary Chapter 11 filing on February 5. The filing details show that proceedings of the specialty retailer are taking place in the U.S. Bankruptcy Court for the District of New Jersey. Curt Kroll, the Chief Financial Officer at Francesca’s Acquisition LLC signed the petition before it was submitted.
Attorney Vincent J. Roldan of Mandelbaum Salsburg PC is representing Francesca’s Acquisition LLC in court.
Store Closure and Clearance Sale at the Fashion Retailer
Francesca’s Acquisition LLC is ready to liquidate all of its assets and shut down operations across all retail locations, according to the latest report by WWD. Additionally, according to a vendor, the boutique chain owes roughly $250 million in unpaid invoices to the vendor’s firm.
Beyond the planned closure of its brick-and-mortar stores, Francesca’s Acquisition LLC has begun the liquidation process on its website with a ‘clearance sale.’ To facilitate the sale of all of its products, the specialty retail chain has rolled out discounted prices.
Company Background
Headquartered in Houston, Texas, the specialty retail chain for women was launched in 1999. Over 25 years, Francesca’s has grown to more than 450 boutiques in 45 states. In addition, its e-commerce site receives 20 million annual site visitors for its assortment of apparel, jewelry, gifts, and accessories.
The lifestyle and fashion product range of Francesca’s is purchased for several occasions, including weddings, celebrations, and graduations.
Francesca’s was acquired by an affiliate of TerraMar Capital LLC, Francesca’s Acquisition LLC, back on January 30, 2021. Following this development, Francesca’s Acquisition LLC acquired the fashion boutique chain’s brand and business operations.
Case Related Details
Attorney Vincent J. Roldan, on behalf of Francesca’s Acquisition LLC, submitted several first-day motions in the court, including a motion to use cash collateral. Additional details shared in the Chapter 11 petition are:
- Filing Date: February 5, 2026
- Court and Jurisdiction: U.S. Bankruptcy Court for the District of New Jersey
- Type of Filing: Active, Voluntary Petition
- Chapter: 11
- Case Number: 2:26-bk-11312
- Estimated Assets: $10,000,001 to $50 million
- Estimated Liabilities: $50,000,001 to $100 million
- Reason for Filing: Liquidate assets and close all stores under court supervision
As of now, Francesca’s Acquisition LLC owes between 1,000 and 5,000 creditors in total, according to the filing details. Funds will be available for distribution to these unsecured creditors.
Court records indicate that the attorney submitted a motion to assume the store-closing consulting agreement on February 5. A list of creditors with the 30 largest unsecured claims and who are not insiders was also submitted in the court, filing details show.
The court filings further show that Samantha Lieb and Jeffrey M. Sponder entered into the latest bankruptcy case of Francesca’s Acquisition LLC on behalf of the U.S. Trustee. Whereas Katie F. Warren entered the case on behalf of Francesca’s Acquisition LLC.
A motion for joint administration of two other cases were filed by Katie F. Warren, indicating that certain subsidiaries of the retail chain had filed for bankruptcy as well. According to the filing details, the hearing related to the joint administration will take place on February 6.
Warren also submitted a motion requesting payment of certain prepetition taxes and fees and granting related relief. Its hearing is scheduled for February 6, as per court filings.
A hearing related to the authorisation for Francesca’s Acquisition LLC to pay prepetition employee wages, continue employee benefits programs, and maintain a cash management system is also scheduled for February 6.
Warren submitted several other crucial motions on behalf of the boutique chain, including retaining a claims and noticing agent and extending time to file missing schedules. The hearing for each of these motions will take place on February 6.
Tiger Finance, LLC and Second Avenue Capital Partners, LLC, two creditors of Francesca’s Acquisition LLC, requested the court to allow their attorneys to appear pro hac vice in the bankruptcy case.
On behalf of the specialty retailer, Warren submitted an application for designation of the latest case as a ‘Chapter 11 complex case.’
He also filed applications to retain Hilco IP Services LLC as Intangible Asset Disposition Consultant and SierraConstellation Partners, LLC as CFO Services. According to court filings, objections for both can be raised by February 26.
Francesca’s Acquisition LLC’s exclusive right to file its Chapter 11 plan expires on June 5.
Upcoming hearings and deadlines will shape the liquidation process and resolve creditor claims for Francesca’s Acquisition LLC.
