Update Dec. 30: Big Lots announced (PDF) that it has entered into an agreement with Gordon Brothers Retail Partners, LLC which could see the transfer of 200-400 Big Lots stores to Variety Wholesalers, Inc. Variety Wholesalers currently operates more than 400 retail stores under a handful of brands, including Super 10, Super Dollar, and Bargain Town. The company has not yet identified which stores would be included in the transaction. The agreement is subject to court approval.
Big Lots announced Thursday, Dec. 19, that a previously announced sale to Nexus Capital Management would no longer be completed.
The company said in a press release that it is now working towards completing an alternative “going concern transaction” with Nexus or another party. The goal would be to complete a sale by early January, the company said.
A “going concern” transaction means that the discount retail business would be sold operational. Big Lots initiated bankruptcy proceedings in September to facilitate the transaction and said at the time that it would continue optimizing its store footprint during the process.
Although the company still hopes to complete a going concern transaction, it is now at the same time commencing going out of business sales at all remaining Big Lots stores, including the one in Cleona at 467 W Penn Ave.
A store manager told LebTown Friday that the store’s hours will remain the same while this process is ongoing.
“We all have worked extremely hard and have taken every step to complete a going concern sale,” said Big Lots’ president and CEO Bruce Thorn in the release. “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 process.”
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