Dive Brief:
- Effective Sunday, jewelry retailer Alex and Ani closed 20 retail stores, according to a statement from CEO Scott Burger shared with Retail Dive.
- Seven of the company’s brick-and-mortar stores will remain open, including locations in Disney Springs in Florida and Plaza Las Américas in Puerto Rico.
- Alex and Ani did not respond to questions from Retail Dive about how many employees the store closures impacted.
Dive Insight:
Alex and Ani’s store closures come as the brand has been reworking different aspects of the company during the past few years.
“From moving our assembly operation, relocating our warehouse and updating our ERP system, we are collectively working towards a strategic omni-channel environment that supports shifts in retail and consumers’ wants and needs,” Burger said. “Throughout this process, we must make difficult decisions that ultimately support this journey.”
Burger added that Alex and Ani “will continue to explore all options that support our refreshed business model,” which could include opening new stores in the future.
The news comes after Alex and Ani secured a $17.5 million loan in August 2022 in order to help fund its working capital needs and operations. The financing demonstrated an “affirmation of the resiliency of the reorganized Alex and Ani brand,” according to a statement from Burger at the time.
Prior to securing the loan, Alex and Ani had filed for bankruptcy the year before and put itself up for sale, though no bids came forward. The jewelry brand then created a reorganization plan in which the business was turned over to lenders.
