Big Lots stated on December 19 that it is closing all 963 shops nationwide, including the 22 remaining stores in California, after a deal with Nexus Capital Management to buy the firm fell through.
The company says it plans to start going-out-of-business sales at all remaining Big Lots stores in the coming days.
Despite the challenges, Big Lots wants to find another buyer or solution that would allow it to continue operating as a business. They intend to complete the sale with Nexus or another entity by early January.
“While we remain hopeful that we can close an alternative going concern transaction, in order to protect the value of the Big Lots estate, we have made the difficult decision to begin the GOB [going-out-of-business] process,” Bruce Thorn, president and CEO of Big Lots, told investors.
Big Lots has already closed 315 stores
Big Lots stated in September that company would file for Chapter 11 bankruptcy in order to restructure its obligations and continue operations.
At the time, the corporation had shuttered 315 outlets countrywide.
The company stated that because the present economy has made life difficult for its consumers, many of them have reduced their spending on non-essential items such as home goods and seasonal products, which account for a large portion of Big Lots’ sales.
The company believes that initiating “going out of business” sales will not prevent it from finding a buyer and keeping the business functioning.
Continuing to serve customers
Big Lots said it will continue to service customers in-store and online while providing updates as they become available.