Overview

• Claire’s Holdings LLC and its U.S. subsidiaries filed voluntary Chapter 11 in Delaware, listing between $1 billion and $10 billion in assets and liabilities
• Its Canadian affiliate intends to commence proceedings under the Companies’ Creditors Arrangement Act in Ontario Superior Court while keeping stores operational
• Creditors turned owners Elliott Management and Monarch Alternative Capital support a strategic review to monetize assets and pursue potential sales
• Interpath Advisory’s formal sale review of Claire’s UK operations has failed to attract a viable bid, making administration and widespread closures increasingly likely
• Chronic debt burdens, rising import tariffs on Asian-sourced accessories and fierce e-commerce competition have driven the retailer back into bankruptcy