New Jersey-based retailer AC Moore is set to close all its 145 stores across the East Coast. The arts and crafts retailer announced on Monday that the larger crafts chain Michaels will take over the leases for 40 of the 145 stores.

According to AC Moore CEO Anthony Piperno, the company is shutting down due to the ongoing struggles in the arts and crafts industry. Just recently, department store chains Kohl’s and Macy’s confirmed these struggles after reporting weak sales numbers amid stiff competition with online retail giants like Amazon.

As AC Moore closes down, it will join the growing graveyard of dead retail brands that recently closed their doors due to stiff competition. In a press release issued on Monday, Nicole Crafts, AC Moore’s parent company, explained that it had been very difficult for them to operate and compete on a national level because of the growing competition in the market.

“Unfortunately, given the headwinds facing many retailers in today’s environment, it made it very difficult for us to operate and compete on a National level,” said Piperno. While the CEO did not give a detailed timeline for the store closings, the retailer will reportedly stop accepting orders immediately. The closedown, however, will not affect orders made prior to the announcement.

According to Piperno, AC Moore will provide more details in the coming weeks as to when their stores will close.

Meanwhile, AC Moore’s closedown will benefit arts and crafts giant and former rival Michaels. AC Moore confirmed on Monday that 40 of their affected stores will be reopened next year under the Michaels brand, expanding its portfolio of more than 1,260 stores in the U.S. and Canada.

Michaels will also take over AC Moore’s lease on an East Coast distribution facility and buy intellectual property as part of the transaction. This major acquisition is expected to solidify Michaels’ position as the largest arts and crafts retailer in the country.

Last year, Michaels revamped its brand and dropped “Fabrics” from its name to represent all the items it sells. At the time, the company admitted having a hard time competing with online competitors Amazon and Etsy.

Online Retailers Five-star packer/associate Marilyn Jarboe fills orders at her work station at the Macy's-Bloomingdale's fulfilment center in Martinsburg, West Virginia in this December 6, 2012 file photograph. Macy's Inc recently opened a facility the size of 43 football fields - big enough to stock 1 million pairs of shoes - just to fulfill orders made online. REUTERS/Gary Cameron