Big Lots discount retailer has finally announced plans to begin closing its stores and liquidating inventory due to ongoing challenges in securing a viable sale agreement. The move comes as efforts to finalise a key transaction with a potential buyer face continued uncertainty, prompting the retailer to explore alternative options to protect its assets.
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Big Lots, the Ohio-based retail chain, confirmed that it would commence going out of business sales across all remaining locations. This step aims to preserve the value of its estate while it continues negotiations for a potential going-concern transaction, which would enable the business to remain operational under new ownership.
Company president and CEO Bruce Thorn expressed regret at the need to initiate the closure process but remained hopeful about the possibility of completing a sale. He noted that substantial efforts had been made to finalise a deal, adding that the company remains committed to finding a resolution that secures its future.
Earlier this year, Big Lots filed for Chapter 11 bankruptcy protection as it faced mounting financial difficulties. At the time, the retailer had announced a sales agreement with Nexus Capital Management, which was expected to acquire the company's assets as part of a court-supervised process. However, the uncertain status of that agreement has led the retailer to consider additional options.
While operations continue both in-store and online, the planned closures and liquidation sales mark a critical moment for the company as it seeks to navigate significant financial challenges and a shifting retail landscape.
Source: www.furnituretoday.com