The Joann's purchase aligns with Michaels' changing customer preferences. In the last year, Michaels.com has seen an increase in users searching for "fabric" and "sewing," the firm announced

IRVING, Texas — Craft retailer Michaels announced Thursday it has acquired the intellectual property and private label brands of Joann Inc., the competing fabric and craft company that filed for bankruptcy in January and has since closed all of its more than 800 U.S. stores.

The Michaels Companies announced on Thursday that it had completed its purchase of Joann's intellectual property and private label brands — in an acquisition that arrives as the Texas -based arts and crafting chain works to expand its own fabric,