Discount retail chain Big Lots has filed for bankruptcy and agreed to sell the business to an affiliate of a private equity firm, becoming the latest casualty of recent curbed consumer spending, The Wall Street Journal reports.
The Columbus, Ohio-based company named Nexus as its proposed stalking-horse bidder after filing for Chapter 11 protection on Monday in U.S. Bankruptcy Court in Delaware. The proposed deal, subject to higher offers and other conditions, is expected to close in the fourth quarter. Trading in shares of Big Lots was halted on the New York Stock Exchange following the announcement.
The retailer, largely known for discount furniture and home decor, has largely posted consecutive quarterly losses the last two years, leading to store closures.
Big Lots operated more than 1,300 stores in the U.S. as of May, according to a recent SEC filing, down from 1,425 in early 2023. There are 19 Big Lots locations in Louisiana, according to its website, including three in the Capital Region.
