The Michaels Companies

Last updated
The Michaels Companies, Inc.
Company type Private
Industry
Founded2014;10 years ago (2014) [1]
FounderMichael J. Dupey
Headquarters Irving, Texas, U.S.
Number of locations
1,252 (US, Canada) (January 2021) [2]
Key people
 Ashley Buchanan (CEO) [3]
ServicesMerchandise for makers and do-it-yourself home decorators
RevenueIncrease2.svg US$5.271 billion (2020) [2]
Increase2.svg US$533.54 million (2020) [2]
Increase2.svg US$294.9 million (2020) [2]
Total assets Increase2.svg US$4.528 billion (2020) [2]
Total equity Increase2.svg US$−1.197 billion (2020) [2]
Owner Apollo Global Management
Number of employees
45,000 (2019) [2]
Subsidiaries
  • Michaels
  • Artistree
  • Aaron Brothers Custom Framing
Website The Michaels Companies

The Michaels Companies is an American retail holding company, headquartered in Irving, Texas. It was formed as a parent company of Michaels in 2014. As of 2021, The Michaels Companies operates its flagship brand, Michaels (in the United States and Canada), and Artistree, a manufacturer of custom and specialty framing merchandise. There are over 1,252 arts and crafts stores located in the United States and Canada.

Contents

History

The Michaels Companies debuted in June 2014 on the NASDAQ under the symbol MIK and raised about $472 million in its initial public offering, using the funds to pay down debt. [4] The IPO valued the company at $3.45 billion. [5] [6] In April 2015, Rubin was named chairman, in addition to his title of CEO. In August 2015, Michaels announced a partnership with online DIY craft design and video company Darby Smart aimed at "making crafting simpler and more accessible." [7] In February 2016, the Michaels Companies inc. completed the acquisition of Lamrite West, Inc., which included an international wholesale business under the Darice brand name ("Darice") and 36 arts and crafts retail stores located primarily in the Midwest under the Pat Catan's brand name. [7] In August, The Michaels Companies acquired Hancock Fabrics' intellectual property and customer database as part of its bankruptcy and liquidation. [8] In June 2017, The Michaels Companies became a Fortune 500 company. [9] In Fall, Michaels launched a relationship with Elizabeth Jean "Busy" Philipps in fall 2017, resulting in a digital video series called The Make Off, in which Busy competes in a crafting competition against other celebrities. In 2018, The Make Off series was nominated for a Webby Award. That year the company also embarked on media partnerships with Good Morning America and Nickelodeon around the concept of promoting screen-free activities for children and teens. In March 2018, the Michaels companies announced its partnership with TV design personalities Drew and Jonathan Scott of HGTV's Property Brothers for a custom frame collection. [10] In January 2019, the Michaels companies announced the closure of the Pat Catan Stores, a dozen or more of which were to be reopened under the Michaels Stores name. [11] In November 2019, The Michaels Companies, Inc. announced that they would reopen up to 40 A.C. Moore stores after its bankruptcy and liquidation. [12] In October 2019, Mark Cosby was named CEO of the Michaels Companies after being named interim CEO in February 2019. [13] In November 2019, The Michaels Companies, Inc. announced that they would reopen up to 40 A.C. Moore stores as Michaels stores after A.C. Moore's bankruptcy and liquidation. [14] In January 2020, former Walmart merchandising executive Ashley Buchanan joined The Michaels Companies as the chief executive officer and a member of the board of directors. [15] In July, the company downsized its headquarters but remained in Irving, Texas. [16] On March 3, 2021, The Michaels Companies management agreed to be acquired by venture capital firm Apollo Global Management for $22 per share, or $3.3 billion, and the company was to be taken private. [17] In April, Apollo announced in a press release that the acquisition was completed. [18] The Michaels Companies owns Artistree, a vertically integrated custom framing business that manufactures precut mats and framing merchandise for Michaels Stores and online ordering. Custom framing orders are processed and shipped to a Michaels store where the frame is assembled and picked up by the customer.

Related Research Articles

<span class="mw-page-title-main">Nordstrom</span> American luxury department store chain

Nordstrom, Inc. is an American luxury department store chain headquartered in Seattle, Washington, and founded by John W. Nordstrom and Carl F. Wallin in 1901. The original Wallin & Nordstrom store operated exclusively as a shoe store, and a second Nordstrom's shoe store opened in 1923. The growing Nordstrom Best chain began selling clothing in 1963, and became the Nordstrom full-line retailer that presently exists by 1971. The company founded its off-price Nordstrom Rack division in 1973, and grew both full-line and off-price divisions throughout the United States in the following years. The full-line division competes with department stores including Bloomingdale's, Macy's, Neiman Marcus, and Saks Fifth Avenue, while the off-price division competes with retailers including the TJX Companies and Ross Stores. Previous expansions beyond the contiguous United States include Puerto Rico (2015–2020) and Canada (2014–2023).

<span class="mw-page-title-main">Sears</span> Department store chain in the United States

Sears, Roebuck and Co., commonly known as Sears, is an American chain of department stores founded in 1892 by Richard Warren Sears and Alvah Curtis Roebuck and reincorporated in 1906 by Richard Sears and Julius Rosenwald, with what began as a mail ordering catalog company migrating to opening retail locations in 1925, the first in Chicago. In 2005, the company was bought by the management of the American big box discount chain Kmart, which upon completion of the merger, formed Sears Holdings. Through the 1980s, Sears was the largest retailer in the United States. In 2018, it was the 31st-largest. After several years of declining sales, Sears's parent company filed for Chapter 11 bankruptcy on October 15, 2018. It announced on January 16, 2019, that it had won its bankruptcy auction, and that a reduced number of 425 stores would remain open, including 223 Sears stores.

<span class="mw-page-title-main">Bed Bath & Beyond</span> American houseware big-box retailer (1971–2023)

Bed Bath & Beyond was an American big-box retail chain specializing in housewares, furniture, and specialty items. Headquartered in Union, New Jersey, the chain operated stores in the United States and Canada, and was once counted among the Fortune 500 and the Forbes Global 2000. The chain filed for Chapter 11 bankruptcy in April 2023 and liquidated all of its remaining stores, with the last closing on July 30, 2023. Following the retail chain's liquidation, its name was adopted by online retailer Overstock.com, which acquired the company's trademarks in a bankruptcy auction. The name is also still used by the chain's former Mexican division, which is now independent.

Claire's is an American retailer of accessories, jewelry, and toys primarily aimed toward tween and teen girls. It was founded in 1961 and is based in Hoffman Estates, Illinois, a suburb of Chicago. The company is primarily owned by Elliott Management and Monarch Alternative Capital, but, in 2022, announced plans to go public with an initial public offering.

GameStop Corp. is an American video game, consumer electronics, and gaming merchandise retailer. The company is headquartered in Grapevine, Texas, and is the largest video game retailer worldwide. As of January 28, 2023, the company operates 4,413 stores including 2,949 in the United States, 216 in Canada, 419 in Australia and 829 in Europe under the GameStop, EB Games, EB Games Australia, Micromania-Zing, ThinkGeek and Zing Pop Culture brands. The company was founded in Dallas in 1984 as Babbage's, and took on its current name in 1999.

<span class="mw-page-title-main">Shopko</span> Defunct chain of retail stores

Shopko was a chain of department stores based in Green Bay, Wisconsin. All locations closed on June 23, 2019, with the exception of the Shopko Optical locations, which continue to operate.

<span class="mw-page-title-main">J.Crew</span> American retail company

J.Crew Group, Inc., is an American multi-brand, multi-channel, specialty retailer. The company offers an assortment of women's, men's, and children's apparel and accessories, including swimwear, outerwear, lounge-wear, bags, sweaters, denim, dresses, suiting, jewelry, and shoes.

<span class="mw-page-title-main">Petco</span> American pet supply store chain

Petco Health and Wellness Company, Inc. is an American pet retailer with corporate offices in San Diego and San Antonio. Petco sells pet food, products, and services, as well as certain types of live small animals.

Jo-Ann Stores, LLC, more commonly known as Jo-Ann, is an American haberdashery and mercery based in Hudson, Ohio. It operates the retail chains JOANN Fabrics and Crafts and Jo-Ann Etc. The headquarters of the company is located in the former General Motors Terex plant.

<span class="mw-page-title-main">Gordmans</span> Defunct American retailer

Gordmans was a retailer founded in Omaha, Nebraska. The chain is owned by BrandX as of May 2022. In 2019, Stage Stores began converting other retail chains it owned into Gordmans stores, with the goal of having 700 Gordmans stores in 42 states by the end of 2020. In May 2020, Stage Stores filed for Chapter 11 bankruptcy and began liquidating its stores. Although a buyer for Stage could have prevented liquidation, Stage later announced that they would proceed with going out of business sales at all locations. There is one store in the town of Algonquin, Illinois.

<span class="mw-page-title-main">H. H. Gregg</span> American electronics retailer

H. H. Gregg, Inc., is an American online retailer and former retail chain of consumer electronics and home appliances in the Midwest, Northeast, and Southeast United States, that operated stores in 20 states including Alabama, Delaware, Florida, Georgia, Illinois, Indiana, Kentucky, Louisiana, Maryland, Wisconsin, Mississippi, Missouri, New Jersey, North Carolina, Ohio, Pennsylvania, South Carolina, Tennessee, and Virginia. Valor Group LLC purchased the brand from the company's bankruptcy trustee for $400,000 in 2017. H.H. Gregg closed all stores in liquidation and had been operating as an online-only retailer since August that year. Founded in Princeton, Indiana, in 1955, H. H. Gregg was headquartered in Indianapolis, Indiana, when it ceased operating. Its retail offerings included home entertainment video and audio products, computers, and other selected consumer electronics; home appliances, such as refrigerators, ranges, dishwashers, freezers, washers, and dryers; and other products and services, including mattresses. The company announced on November 24, 2008, that it would begin selling popular gaming systems such as Wii, Xbox 360 and PlayStation 3.

<span class="mw-page-title-main">Express, Inc.</span> American fashion company

Express, Inc. is an American fashion retailer whose portfolio includes Express, Bonobos and UpWest. The Company operates an omnichannel platform as well as physical and online stores. Grounded in a belief that style, quality and value should all be found in one place. The company consists of the brands Express, Bonobos, and UpWest, and is traded on the OTC Pink under the symbol EXPR.

<span class="mw-page-title-main">A.C. Moore</span> Defunct American retailer

A.C. Moore was an American arts and crafts retail chain, owned by Nicole Crafts. It had 145 retail locations in the eastern United States, with corporate headquarters in Berlin, New Jersey. On November 25, 2019, A.C. Moore announced that it would wind down its operations, closing all stores, and selling selected leases and other assets to a competitor, Michaels.

<span class="mw-page-title-main">The Mall of Monroe</span> Shopping mall in Michigan, United States

The Mall of Monroe, formerly known as Frenchtown Square Mall, is an enclosed shopping mall in Frenchtown Charter Township in the U.S. state of Michigan. It is located just north of the city of Monroe along North Monroe Street (M-125). Opened in 1988, the mall features more than thirty tenants and a church. The mall is managed by Cafaro Company of Youngstown, Ohio. The mall's anchor stores are Planet Fitness, Phoenix Theatres, and Domka Outdoors. There are 4 vacant anchor stores that were once Target, Sears, and Pat Catan's.

Shopify Inc., stylized as shopify is a Canadian multinational e-commerce company headquartered in Ottawa, Ontario. Shopify is the name of its proprietary e-commerce platform for online stores and retail point-of-sale systems. The Shopify platform offers online retailers a suite of services, including payments, marketing, shipping and customer engagement tools.

Fanatics, Inc. is an American manufacturer and online retailer of licensed sportswear for the MLB, MLS, NBA, NCAA, NFL, NHL, NASCAR, Formula 1, WWE and NPB. They sell sports collectibles, Non-Fungible Tokens (NFTs), trading cards, and sports merchandise, as well as sports betting and iGaming. The company began as an American online retailer of licensed sportswear and merchandise, which operates the e-commerce businesses of major professional sports leagues and media brands, as well as hundreds of collegiate and professional team properties.

<span class="mw-page-title-main">Instacart</span> Internet-based grocery delivery service

Maplebear Inc., doing business as Instacart, is an American delivery company based in San Francisco that operates a grocery delivery and pick-up service in the United States and Canada accessible via a website and mobile app. It allows customers to order groceries from participating retailers with the shopping being done by a personal shopper. The company also provides alcohol delivery in states and provinces where it is allowed. It has partnerships with 1,400 retail banners comprising 80,000 stores. In 2022, it fulfilled 262.6 million orders with a total transaction value of $28.8 billion and an average transaction value of $110.

<span class="mw-page-title-main">Paper Source</span> American stationery and gift retailer

Paper Source is an American stationery and gift retailer based in Chicago, Illinois, that offers papers, custom invitations and announcements, gifts, greeting cards, gift wrap, paper craft kits, party supplies, and personalized stationery and stamps.

Edison Brothers Stores, Inc., was a retail conglomerate based in St. Louis, Missouri. It operated numerous retail chains mainly located in shopping malls, mostly in the fields of shoes, clothing and entertainment, with Bakers Shoes as its flagship chain. The company was liquidated in 1999, though some of the chains it operated continued under different owners.

Michaels Stores, Inc., more commonly known as Michaels, is a privately held chain of American and Canadian arts and crafts stores. It is North America's largest provider of arts, crafts, framing, floral and wall décor, and merchandise for makers and do-it-yourself home decorators. The company is part of The Michaels Companies, founded in 2014 and headquartered in Irving, Texas. In addition to Michaels stores, The Michaels Companies operates Aaron Brothers Custom Framing store-within-a-store, and Artistree, a manufacturer of custom and specialty framing merchandise. The company also develops over a dozen private brands sold in Michaels stores, including Recollections, Studio Décor, Bead Landing, Creatology, and Ashland. As of January 2021, there were 1,252 Michaels stores in 49 out of 50 states in the U.S., and Canada, with approximately $5.362 billion in sales for fiscal 2020.

References

  1. ↑ Alden, William (June 26, 2014). "Michaels I.P.O. Prices at $17, at Low End of Range". The New York Times . Retrieved January 17, 2019.
  2. 1 2 3 4 5 6 7 "Form 10-K Michaels Companies, Inc". sec.report. March 9, 2021. Retrieved March 7, 2022.
  3. ↑ "Michaels Company Profile". fortune.com. 13 June 2018. Retrieved 2022-01-22.
  4. ↑ Alden, William (June 26, 2014). "Michaels I.P.O. Prices at $17, at Low End of Range". The New York Times . Retrieved January 17, 2019.
  5. ↑ "Crafts retailer Michaels raises $473 million in IPO". Reuters. June 26, 2014. Retrieved May 18, 2021.
  6. ↑ "The Michaels Companies, Inc. LEI 549300H9LWMBP7HYLR98". LEI. June 12, 2014. Retrieved May 18, 2021.
  7. 1 2 Sciacca, Annie (August 20, 2015). "S.F.-based DIY startup lands partnership with craft retail giant". San Francisco Business Times. Retrieved January 17, 2019.
  8. ↑ Urbanski, Al (August 4, 2016). "Michaels buys Hancock Fabrics brand". chainstoreage.com. Eagle Operating Corp. Retrieved January 16, 2019.
  9. ↑ Wieczner, Jenn (June 7, 2017). "Tesla and 19 Companies Join the Fortune 500 for the First Time". Fortune. Retrieved January 16, 2019.
  10. ↑ Halkias, Maria (March 1, 2018). "Arts and crafts retailer Michaels partners with HGTV's Property Brothers to boost framing business". DallasNews.com. Dallas Morning News, Inc. Retrieved January 14, 2019.
  11. ↑ "Michaels doing away with Pat Catan's stores". The Post. February 16, 2019. Retrieved May 18, 2021.
  12. ↑ Tyko, Kelly (November 25, 2019). "A.C. Moore closing all stores, up to 40 locations set to become Michaels". USA Today . McLean, Virginia . Retrieved November 25, 2019.
  13. ↑ Ayers, Rebecca (October 22, 2019). "Michaels names interim leader to CEO spot". Dallas Business Journal. Retrieved November 15, 2019.
  14. ↑ "All 145 A.C. Moore stores will shut down, but a small handful will become Michaels locations". Business Insider. November 26, 2019. Retrieved May 18, 2021.
  15. ↑ Ell, Kellie (2019-12-27). "Arts and Crafts Company Michaels Taps Walmart Exec". WWD. Archived from the original on 2021-03-04. Retrieved March 17, 2021.
  16. ↑ "Michaels Stays in Irving With HQ Move". GlobeST. July 28, 2020. Retrieved May 18, 2021.
  17. ↑ Thomas, Lauren (March 3, 2021). "Crafts retailer Michaels will go private in $3.3 billion deal with Apollo Global". CNBC. Retrieved March 3, 2021.
  18. ↑ "Apollo Announces Completion of the Tender Offer for Shares of The Michaels Companies". Yahoo. April 15, 2021. Retrieved May 18, 2021.
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.