Big Lots announced Friday that it will sell its stores, distribution centers and intellectual property to retailers including Variety Wholesaler to Gordon Brothers in an effort to preserve the brand and save some distributors and jobs. – Announced that it has reached an agreement with Retail Partners.
Privately owned Variety Wholesalers plans to acquire 200 to 400 Big Lots stores and two distribution centers, retaining employees and operating them under the Big Lots brand, the discount housewares company said. the retailer said.
The Columbus, Ohio-based company, which has filed for Chapter 11 bankruptcy protection, plans to close about 20% of its roughly 1,400 stores across the United States.
In September, the company secured $707.5 million to maintain its operations and sell the business to private equity firm Nexus Capital.
“This sale agreement and transfer provides the strongest opportunity to preserve jobs, maximize real estate value and ensure the continuity of the Big Lots brand,” said Big Lots CEO Bruce Bruce. Thorne said.
The retailer, which employs more than 30,000 people, has suffered from consecutive sales declines in recent quarters, putting pressure on its balance sheet.
