Craft Retailer Joann Likely to Liquidate, Lenders Tell Judge

Bankrupt craft retailer Joann Inc. is “way more likely” to liquidate and fire 19,000 workers if the company must find a buyer in less than 30 days, out-of-the-money creditors told a judge overseeing the insolvency case.

• The quicker-than-normal timeline only benefits asset-backed lenders and those who provided “first in, last out” loans, said Joshua Brody, who represents a group of creditors including Fidelity Management & Research Company and Nuveen Asset Management
• The creditors, who hold both term loans and own Joann stock, may investigate whether the other lenders may have pushed the company into bankruptcy, Brody said
• Joann filed ...