Michaels (literally) owns Joann fabrics after craft store buys bankrupt store’s property and brands

Michaels announced that it bought Joann's intellectual property and private-label brands. - (Getty)

Michaels now owns Joann - literally.

The craft giant cashed in on the demise of Joann, formerly known as Jo-Ann Fabrics, in a recent purchase of its intellectual property and private-label brands. The acquisition, announced Friday, includes the beloved Big Twist line of yarns and other flagship labels from the now-bankrupt retailer.

Its latest development in Joann store’s bankruptcy announced earlier this year. Joanns announced it would be closing all its stores. Michaels responded with savage posts trying to woo Joann customers to its stores.

Now, all Joann’s private brands, such as Big Twist Value Plus, Big Twist Twinkle, Big Twist Posh and Big Twist Baby Bear, are now under Michaels’ ownership. These products will be available in-store and online later this year.

Michaels also plans to expand its fabric, sewing, and yarn offerings by introducing over 600 new items, including sewing machines from Brother and Singer, Oliso Smart Irons, and needlecraft kits from DMC and Loops & Threads.

“Fabric” searches on Michaels.com have jumped 77 percent in the past year while “sewing” has increased by 39 percent, prompting the company to expand its selection in hundreds of stores and counting, according to a news release.

"This acquisition allows us to better serve both new and existing customers, respond to rising demand across categories, and build on our momentum as the destination for creating and celebrating in North America," Michaels' CEO David Boone said in the release.

Joann closed all of its stores in May. (AFP/Getty)

The release also offers a “special welcome for JOANN customers,” and directs them to a dedicated landing page on the Michaels website for Joann-like items, including fabric, sewing, and yarn.

There are 1,300 Michaels locations across 49 US states and Canada. Joann closed all of its 800 stores in 49 states in May after filing for Chapter 11 bankruptcy for the second time in January.

Last month, Michaels’ website threaded insult into injury for Joann customers as the latter prepared to be gone for good.

"Welcome JOANN Customers. We’ve got your go-to essentials & so much more!" a savage message read on its site.