Private Equity Investors Destroying Maine Businesses and Institutions

by Dan McKay

7 hours ago

As of early 2026, several national retail chains with a presence in Maine are undergoing restructuring, bankruptcy, or sales to private equity firms, resulting in significant store closures across the state. The retail landscape in Maine is currently facing a wave of closures affecting discount stores, craft shops, and restaurants, driven by financial pressures, high operating costs, and leveraged buyouts. 
Key Retailer Closures and Private Equity Impact in Maine (2025-2026)
  • Big Lots: Following a failed sale to a private equity firm, Big Lots is closing several locations in Maine, with reports in late 2024 and 2025 indicating closures in Auburn, Augusta, Brunswick, and Farmington.
  • Family Dollar: After being sold to private equity firms Brigade Capital Management and Macellum Capital Management in July 2025, the chain has continued to shed locations. At least 11 stores in Maine have closed, including a location in Old Orchard Beach.
  • Joann Fabrics: After declaring bankruptcy for a second time and being acquired by a private equity firm in late 2024/early 2025, Joann planned to close multiple stores, with reports indicating closures for all five Maine locations.
  • Claire's: Following its acquisition by an affiliate of private equity firm Ames Watson in August 2025, some locations were spared, but the chain has undergone a significant reduction in its footprint.
  • Olympia Sports: Formerly based in Maine, this chain closed its remaining 35 stores after being sold to a private equity-owned firm.
  • Party City: The retailer is closing two Maine locations in early 2025.
  • Denny's: Following a $322 million deal to sell to private equity firm TriArtisan Capital Advisors, the chain is restructuring, with a Maine location in Augusta having closed in late 2024. 
Broader Trends in Maine
  • Local Restaurant/Retail Closures: As of early January 2026, several independent or smaller chain businesses have announced closures, including Reny's in downtown Portland, Bull Moose in North Windham, and multiple restaurants.
  • High Costs: The Maine Chamber of Commerce cited high insurance, energy, and labor costs as key drivers for these closures.
  • Hospital Sector: Concerns have been raised regarding private equity firms acquiring Maine hospitals, with some groups citing risks to the stability of the healthcare system. 
These closures represent a continued, rapid decline in physical retail footprints for national chains in the state, often initiated by debt, bankruptcy, and restructuring efforts led by private equity investors.