The budget jeweller and fashion accessories chain Claire’s has hired advisers to find a buyer for its British operations as it explores options – including bankruptcy – for its US-based business.
Sky News has learnt that Claire’s, which trades from about 280 UK shops, is working with Interpath Advisory on a potential sale or restructuring.
Sources said that prospective buyers of the business had been told that a sale of the British chain could lead to significant numbers of store closures.
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One retail industry boss speculated that as many as a third of the UK shops could be axed in a deal to salvage the rest of the chain, potentially putting hundreds of jobs at risk.
Claire’s has been a fixture in British shopping centres and on high streets for decades.
Bloomberg News reported last week that Claire’s Stores Inc, the US-based parent company, was considering filing for bankruptcy protection while it explores a sale of its operations in North America and Europe.
Houlihan Lokey, the investment bank, is advising on the sale.
The company, which is reported to trade from 2,000 stores globally, is owned by former creditors Elliott Management and Monarch Alternative Capital following a previous financial restructuring.
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Bankers speculated that prolific retail investors such as Modella Capital and Gordon Brothers might be among those interested in Claire’s British business.
Claire’s could not be reached for comment, while Interpath declined to comment.
