Frances Larina on Nostr: Joann Fabrics, the only fabric store within three counties where I live, is likely ...
Joann Fabrics, the only fabric store within three counties where I live, is likely headed into bankruptcy soon.
In 2011, Joann was bought by Leonard Green & Partners, a private equity company. In 2021 they took it public while retaining control, and as of a month ago,
"The business has no CEO, lost 127.5 million during the first half of 2023 and has about $1.1 billion in long-term debt."
In other words, they did what private equity companies do. They find a long standing company, buy it, suck out all value, leverage it with debt that's extracted for their investors and then...throw away the empty husk.
I'm so tired of this being the fate of so many American companies. And I'm angry that Congress wrote & passed laws enabling and even encouraging this...dismantling, of so much of American culture.
In 2011, Joann was bought by Leonard Green & Partners, a private equity company. In 2021 they took it public while retaining control, and as of a month ago,
"The business has no CEO, lost 127.5 million during the first half of 2023 and has about $1.1 billion in long-term debt."
In other words, they did what private equity companies do. They find a long standing company, buy it, suck out all value, leverage it with debt that's extracted for their investors and then...throw away the empty husk.
I'm so tired of this being the fate of so many American companies. And I'm angry that Congress wrote & passed laws enabling and even encouraging this...dismantling, of so much of American culture.