Big Lots, the Columbus, Ohio-based retailer, has filed for Chapter 11 bankruptcy protection, citing up to $10 billion in debt. On September 9, the company announced a deal with Nexus Capital Management LP, an affiliate that plans to acquire Big Lots for $760 million. This acquisition includes $2.5 million in cash, with the remaining amount addressing the company’s outstanding debts and liabilities.
In its bankruptcy filing, Big Lots reported assets and liabilities both ranging between $1 billion and $10 billion. Despite the financial strain, Big Lots’ CEO, Bruce Thorn, expressed optimism, stating that this move allows the company to restructure under new ownership, stabilize its finances, and focus on improving its operations. “The actions we are taking today will enable us to move forward with new owners who believe in our business and provide financial stability,” Thorn said.
Nexus Capital Management, based in Santa Monica, California, has a diverse investment portfolio and sees potential in reviving Big Lots. Nexus Managing Director Evan Glucoft referred to Big Lots as an “iconic brand” and aims to restore it as “America’s leading extreme value retailer.”