Big Lots Reaches Deal To Avoid Closure After Filing For Bankruptcy

The proposed transaction is subject to certain closing conditions and must be approved by a bankruptcy judge.

Big Lots will no longer be going out of business after initially filing for bankruptcy. The company filed Chapter 11 in September.

The company has now agreed to a deal to save hundreds of stores after an early sale of the business fell apart. The new deal will save the chain from closing down entirely.

Big Lots Inc. has now agreed to a transaction with ‘Gordon Brothers Retail Partners LLC.’ It will facilitate the transfer of Big Lots’ brand, stores and distribution centers to other operators.

The proposed transaction would avert the potential closing of all big lots locations.

‘Variety Wholesalers Inc.’ operates several discount chains and intends to acquire between 200 and 400 of the 1,300 locations as part of the deal.

The company intends to keep operating stores under the Big Lots name.

The proposed transaction is subject to certain closing conditions. It also must be approved by a bankruptcy judge.