Hobbycraft is being prepared for a takeover after a mystery buyer came forward, with the arts and crafts chain having axed 126 staff and closed 9 stores
A major UK arts and crafts retail chain is planning a sale after cutting 126 jobs and closing 9 outlets. Hobbycraft is being prepared for a takeover after a mystery purchaser expressed interest, according to Sky News.
The development follows just months after the retailer’s owners, Modella Capital, implemented a restructuring that resulted in 126 employees losing their positions and nine outlets closing permanently.
In May 2025, the chain initiated a Company Voluntary Arrangement to ward off any threat of collapse. The strategy was intended to enable the popular UK retailer to exit leases to save approximately £10million annually.
Hobbycraft adopted the approach to attempt to safeguard the future of its remaining 97 outlets and the employment of 1,800 workers nationwide.
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Modella Capital, a private investment company which acquired Hobbycraft in summer 2024, is preparing to appoint advisers to handle approaches from potential buyers, reports Birmingham Live.
Modella has saved two other notable retailers – Claire’s and The Original Factory Shop – in the past 12 months, before restructuring them and eventually appointing administrators at both.
Hobbycraft chief executive Alex Willson said: “In terms of key highlights, we were buoyed by strong online sales, while still seeing promising results across our store portfolio.
“As we head into 2026 with total sales up 6.3% year-on-year, we’re hopeful that by catering for our core craft fans, alongside our newer cohort of hobbyist customers, we will continue to see growth into 2026.”
Nine stores have closed along and are named along with some already shut sites in a list on their website.
On its website, Hobbycraft states: “Following a strategic review of the business, we have closed some of our stores. As a result, the stores listed below are now closed.”
According to the website, the full list of closed stores are:
- Bagshot
- Basildon
- Borehamwood
- Bristol Imperial
- Bromborough
- Canterbury
- Chichester
- Cirencester
- Crayford
- Dunstable
- Epping Forest
- Kings Lynn
- Lakeside
- Maidenhead
- Southport
- Stafford
- Stratford Upon Avon
- Wigan
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