NEW YORK (AP) -- The handicraft labels by now-breaking fabric seller Joann are entering a new home: Michaels.

Michaels Companies announced Thursday that it has completed a purchase of Joann’s intellectual property and private label brand, an acquisition that can expand its own fabric, sewing and yarn products along with the production of Texas’ art and production chains.

"We are honored to have the opportunity to welcome Joann's clients to our creative community and work on the options, value and inspiration we seek at Michaels," Michaels CEO David Boone said in a statement. He added that the deal allows the company to better “respond to rising demand” among new and existing clients.

The financial terms of the acquisition were not disclosed. The Associated Press contacted Michaels Friday for more information.

Joann's roots can be traced back to an Ohio storefront in 1943, so it has grown into a sewer, sewing, weaver and enthusiast for generations of other handicrafts, for over 80 years. But recently, operational challenges continue to pile up – retailers point out that consumer demand is slow, inventory shortages and competition continue to rise.

Joann announced that he would file for Chapter 11 bankruptcy protection for the second time in a year and would go bankrupt in February. At the time, the company said that financial services company GA Group, along with Joann's tenure lender, was selected as the winning bidder to "get a large amount of Joan's assets" and conduct commercial sales at all store locations.

Michaels said Thursday that it purchased Joann’s intellectual property and private brand including the acquisition of “big twist” yarn, which has become a staple in Jon’s store for years.

The company said the “big twist” tags are now being developed as part of Michaels’ portfolio and will be available in stores and online later this year. Meanwhile, Michaels also introduced a landing page to welcome former Joann’s customers online.

Michaels said Thursday that as part of the overall expansion to fabric, it added more than 600 new products and new products from existing brands, including seam supply and fabrics, featured threads, sewing machines and more.

Founded in 1973, Michaels currently owns 1,300 stores in 49 U.S. states and Canada. Its parent company also owns Artistree, a maker of framework goods.