Two companies proposed to the Paris Economic Court on Thursday to take over the Claire’s brand in France. The lawyers from the staff representative told AFP this. The company was placed into insolvency administration at the end of July. The offer includes the takeover of 460 of the affordable jewelry brand’s 829 employees.
The companies are the fashion jewelry retailer June and the Spanish cell phone case seller La Casa de las Carcasas. June has already received approval to use the Claire’s brand and wants to take on 426 employees. La Casa de las Carcasas intends to take on 34 employees. June would also take over 139 of the approximately 240 existing Claire’s stores. La Casa de las Carcasas would take over three branches to sell its telephone accessories.
“These complementary offers are solid and sustainable and could make it possible to save almost 50 percent of jobs,” assured lawyer Eve Ouanson. They have a good chance of being confirmed by the court on November 14th.
A social plan (PSE) has already been drawn up for employees who are not affected by the takeover. This will result in dismissal for the majority of them. “The unions signed the agreement on this social plan responsibly in order to limit the damage to jobs,” emphasized lawyer Khaled Meziani.
The judiciary opened insolvency proceedings for Claire’s France at the end of July. The brand is best known for its affordable jewelry, piercings and other accessories for teenagers.
The management justified this with the continuous decline in sales in the branches for several years. This was accelerated by US tariffs on Chinese products, which Claire’s relies heavily on. However, according to the most recently published balance sheets, Claire’s France generated a net profit of 1.3 million euros between the end of 2023 and the end of 2024 and 0.8 million euros in the previous financial year.
A third takeover offer had been submitted to the insolvency administrator before it was ultimately rejected.
The Claire’s brand is not only in trouble in France. Its parent company in the United States filed for bankruptcy in August before being taken over by an investment fund. The Spanish subsidiary of Claire’s also filed for insolvency in September.
At the beginning of September, the staff representative reported what it described as “serious irregularities in management” to the judiciary. It accuses the US parent company of having “emptied” its coffers through “financial flows” between the group’s numerous subsidiaries.
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