Ames Watson, the private equity firm that owns Lids, acquired the teen accessories chain Claire’s for $140 million in bankruptcy proceedings.
Claire’s filed for bankruptcy for the second time in August, having first filed in 2018.
Ames Watson said in a statement that, similar to how it built Lids into a billion-dollar business after acquiring the chain from Genesco in 2019, it will “revitalize Claire’s with a focus on exclusivity, customization and cultural relevance.”
“Claire’s is one of those rare brands that defines a stage of life — old enough to buy your first lip gloss, but still young enough to believe it could change your world,” said Lawrence Berger, partner and co-founder at Ames Watson. “The passion for this brand has been overwhelming, and we’re eager to include the community as we move forward.”
“Every turnaround we’ve done begins with people,” said Tom Ripley, partner and co-founder at Ames Watson. “Claire’s has an incredibly passionate field team – many with 20 years or more in these stores – and their loyalty will be the foundation of this next chapter.”
Ames Watson said it differentiates itself by investing its own capital, not that of investors, thereby eliminating short-term performance pressures and enabling a longer investment horizon. The firm also stated that it works directly with store employees, merchants and vendors to manage operations, rather than outsourcing.
Paul Hastings LLP is legal counsel to Ames Watson. RCS Real Estate Advisors is the company’s real estate consultant.
Founded in 2018 and based in Columbia, MD, Ames Watson has an annual revenue of over $2 billion. Brands owned or invested in by Ames Watson include Lids, LidsU, Champion, South Moon Under, Mitchell & Ness, Ebbets Field, Zygo, Hungry, and Margaux.
Image courtesy Clair’s
