Retailer Joann Is Said to Plan Bankruptcy Giving Lenders Control

Crafts retailer Joann Inc. is considering a bankruptcy filing as soon as next week as part of a deal that would hand control of the company to lenders while allowing it to shed expensive debt, according to people with knowledge of the matter.

The company, which sells fabric and craft supplies and has around 850 stores in the US, has been holding confidential talks with its lenders as it seeks fresh capital to bolster its cash reserves.

Discussions are ongoing and plans aren’t final, but the company is seeking to line up enough support from lenders that would allow it ...