Popular home-goods retail company Muji has filed for bankruptcy amid the economic impact of coronavirus disease (COVID-19).
The trendy chain, which sells minimalist décor and clothes, has filed for US’ Chapter 11 in Delaware due to the “devastating effects of the COVID-19 pandemic” and in a bid to overhaul its online sales.
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“Muji has felt the devastating effects of the COVID-19 pandemic on in-store retail, and as a result will take this opportunity to refocus our efforts in the United States on key regional markets and e-commerce,” Muji CEO Satoshi Okazaki said in a statement.
The restructuring will include closing down some stores across the country and strengthening its online presence. In a report by CNN, the company’s bankruptcy filing listed liabilities of $50 million to $100 million, owed to between 200 and 999 creditors.
Muji added that the process will “ensure the future health, growth, and viability of the company,” noting that the company is “committed to serving its customers in the market and providing a high quality of product and experience into the future.”
Photo credit: Muji
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