Big Lots to Close Over 50 Retail Locations Across Multiple States

Big Lots to Close Over 50 Retail Locations

Big Lots Plans to Permanently Close Over 50 Stores Amid Bankruptcy Proceedings

Big Lots has announced its intention to permanently close more than 50 of its retail locations, with the details disclosed in a recent filing to the bankruptcy court overseeing its Chapter 11 proceedings. The discount retailer is set to shutter 56 stores across various states, including California, Texas, Nebraska, New Mexico, Ohio, Pennsylvania, and many others.

Interested parties have until Wednesday afternoon to object to these closures, which add to several stores Big Lots has already closed this year.

The company initiated Chapter 11 bankruptcy proceedings last month to facilitate the sale of "substantially all" of its assets to Nexus Capital Management, its designated "stalking horse bidder." In early September, Big Lots stated that pursuing this sale agreement was the best way to maximize value and ensure ongoing operations. For the sale to be finalized, Nexus must win a court-supervised auction.

Big Lots indicated that the bankruptcy process would involve further store closures. CEO Bruce Thorn noted, "While most of our locations are profitable, we aim to operate more efficiently and serve our customers better by optimizing our store fleet."

Before filing for Chapter 11, there were reports indicating that Big Lots was preparing for a potential bankruptcy. Known for offering home goods, furniture, seasonal items, and more, Big Lots reported $1.05 billion in net sales during the second quarter, an 8% decline compared to the same period last year, with a net loss of nearly $238.46 million.

Big Lots to Close Over 50 Retail Locations Across Multiple States