In a significant shift from looming closures, Big Lots has secured a lifeline with the sale of up to 400 of its stores, preventing what could have been a sweeping job loss. Boston's Gordon Brothers Retail Partners and Variety Wholesalers from Henderson, North Carolina, have crafted a deal that will keep these Big Lots locations operational. According to a news release, as reported by CBS 17, Variety Wholesalers is set to purchase between 200 and 400 Big Lots stores, maintaining the brand's presence in communities.
The bankruptcy filing in September had put Big Lots on a path to shuttering its remaining 963 stores, but this agreement injects new hope for the brand's future. A layoff notice had indicated as many as 555 corporate employees stood to lose their positions with additional layoffs in Pennsylvania, but the acquisition aims to provide continuity of employment. "This sale agreement and transfer present the strongest opportunity to preserve jobs, maximize value for the estate and ensure continuity of the Big Lots brand." Bruce Thorn, Big Lots' president and chief executive, conveyed the significance of the deal in a statement obtained by ABC 11.
The deal's finer points reveal that Variety Wholesalers may absorb Big Lots staff at the stores and possibly at one or two distribution centers earmarked for acquisition. The company's portfolio currently includes more than 400 retail stores under various names. As per the information released by USA Today, the transaction is substantial, encompassing stores, distribution hubs, and the Big Lots intellectual property, all pending bankruptcy court approval.
