A partnership between financial services company GA Group and Joann’s term lenders has emerged as the winner in the auction for Hudson-based fabric and craft store chain Joann. The new ownership group, dubbed GA Joann Retail Partnership, plans to retain most of the stores open until May 2024.
According to CEO Scott Carpenter, the new owners will implement a “multimillion-dollar retention plan” for employees, granting them time off to interview for other jobs and hosting job fairs. They will also work with staff to close underperforming locations efficiently.
The auction process was complex, considering multiple lenders’ interests, including first-in last-out and asset-based revolving loan lenders. GA Group has a long history with Joann, dating back decades and previously assisting the company in expanding its store footprint from 2006 to 2016.
Joann filed for bankruptcy in January 2025, citing increased competition with e-commerce retailers and rising supply costs. The company had been heavily reliant on foreign suppliers, sourcing 44% of purchases from abroad in its fiscal year 2023. A series of warnings and delistings followed as investor sentiment declined, but the new owners aim to stabilize the business.
Source: https://eu.beaconjournal.com/story/business/2025/02/22/financial-services-firm-ga-group-term-lenders-joann-fabrics-outbid-stalking-horse-gordon-brothers/79621413007