Fabric and crafts retailer Joann Inc. filed for bankruptcy, unable to sustain its debt load after a sales boom during pandemic lockdowns faded, Bloomberg News reported. The Hudson, Ohio-based chain will be delisted after the bankruptcy proceedings and be privately owned by “certain of its lenders and industry parties,” according to a company statement released as it filed a chapter 11 petition in Delaware today. The filing listed liabilities of $1 billion to $10 billion. Joann’s lenders struck a restructuring deal to provide about $132 million in new financing that would help the company reduce debt by about $505 million, the firm said. The parties in the deal also agreed to a six-month extension of certain loans and credit facilities.
