Teen accessories retailer Claire’s is moving forward with store closures in Arkansas but has received a lifeline from private equity firm Ames Watson for $104 million in cash and a $36 million seller note.

The deal follows the retailer’s Chapter 11 bankruptcy filing on Aug. 6, its second in seven years.

Claire’s will close around 600 of its 1,350 stores, leaving it a minimum of 750 locations, with the possibility to increase to around 900 stores as the deal unfolds. The company said it will accelerate the following Arkansas store closures: Fayetteville, Northwest Arkansas Mall; Rogers, Pinnacle Promenade; Conway, 1040 Amity Road; Hot Springs, Central Avenue; and Little Rock, 11201 Bass Pro Parkway.

Arkansas stores to remain are in Benton, Fort Smith, and North Little Rock.

“We are committed to investing in its future by preserving a significant retail footprint across North America, working closely with the Claire’s team to ensure a seamless transition and creating a renewed path to growth based on our deep experience working with consumer brands,” said Lawrence Berger, co-founder of Ames Watson.

Claire’s noted that the sale will “significantly benefit” the company’s efforts to create value through its restructuring process. The deal is subject to approval by the Courts in the U.S. and Canada, and other customary closing conditions. In its filing, Claire’s estimated the total value of its consolidated assets and liabilities as between $1 billion and $10 billion.

“We are glad to reach this definitive agreement to sell a portion of our North America operations to Ames Watson and maximize the value of our company for all our stakeholders,” said Chris Cramer, CEO of Claire’s. “I would again like to extend my gratitude to every Claire’s employee who has continued to show up for our customers during this challenging time for our business.”

Ames Watson’s other retail investments include Lids, Ebbets Field Flannels, and Zygo.

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