In a strategic move to strengthen its position in the craft retail market, Michaels stores has officially acquired the intellectual property and private label brands of Joann, a long-time competitor that recently filed for bankruptcy. The acquisition, announced on June 5, marks a significant shift in the industry as Michaels aims to draw in Joann’s devoted customer base by enhancing its offerings in key crafting categories such as fabric, sewing, and yarn.
Joann, which had operated approximately 800 stores across the U.S., began closing its doors following its Chapter 11 bankruptcy filing in January 2025, its second in under a year. As part of the deal, Michaels now owns several of Joann’s signature brands, including Big Twist, a popular line of yarns. The acquisition reflects Michaels’ strategy to meet rising consumer interest in sewing and fabric crafts, and further secure its status as North America’s leading destination for creative supplies.
Expanded Assortment and In-Store Offerings on the Horizon
Following the acquisition, Michaels is ramping up its inventory with more than 600 new products, including well-known sewing machine brands such as Brother and Singer, Oliso Smart Irons, and popular needlecraft kits from DMC and Loops & Threads. The company has already expanded its fabric selection in over 680 stores and plans to bring that enhancement to an additional 280 locations by the end of the year.
To meet increased customer demand, Michaels is also significantly boosting its yarn offerings. A 25% increase in yarn inventory is expected this year, with 60 new Loops & Threads yarns launching in-store and online this month. Summer will also see the arrival of collections from top yarn brands like Bernat, Lion Brand, and Red Heart. Additionally, Joann’s beloved Big Twist products including Value Plus, Twinkle, Posh, and Baby Bear are slated to appear in Michaels stores and on its website later this year.
This expansion is aligned with evolving consumer trends, as search data from Michaels.com has shown a notable uptick in queries related to “fabric” and “sewing.” By integrating Joann’s popular products and responding to these trends, Michaels stores is positioning itself as a one-stop destination for both casual crafters and dedicated hobbyists.
Customer Experience and Community Integration
To ease the transition for former Joann customers, Michaels stores launched a dedicated online landing page in early May. This resource aims to help shoppers locate Joann’s most popular products within the Michaels inventory and stay informed on new arrivals and promotions.
David Boone, CEO of Michaels, emphasized the company’s commitment to serving the creative community. “We’re honored to welcome Joann customers into our creative community and are committed to delivering the selection, value, and inspiration they are looking for at Michaels,” he stated.
With more than 1,300 stores across 49 states and Canada, Michaels is leveraging its expansive reach and enhanced inventory to cater to a broader range of crafting needs. The acquisition of Joann’s brand assets not only strengthens Michaels’ competitive edge but also ensures continuity for Joann’s loyal customers in their creative pursuits.
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