Big Lots Reaches Agreement to Preserve Hundreds of Stores Amid Bankruptcy

Park Hills, Mo. (KFMO) - Big Lots, the discount retail chain that filed for Chapter 11 bankruptcy in September 2024, has secured a deal to keep between 200 and 400 of its stores open. The agreement involves selling these locations to Variety Wholesalers, Inc., a company operating over 400 discount stores in the Southeast and Mid-Atlantic regions under brands like Roses and Maxway. 

This development comes after a previously planned sale to Nexus Capital Management fell through, leading to concerns about the closure of all 963 Big Lots stores. The new arrangement, facilitated by Gordon Brothers Retail Partners, aims to transfer Big Lots' assets to Variety Wholesalers, which intends to rebrand the acquired stores under its existing banners. 

The deal is expected to preserve numerous jobs and maintain a retail presence in communities that have relied on Big Lots for discounted merchandise. The bankruptcy was attributed to inflation and high-interest rates impacting consumer spending on home and seasonal products.

While this agreement offers a lifeline to a significant portion of Big Lots' operations, the future of the remaining stores remains uncertain. The company has not yet disclosed specific locations slated for closure or transition. Customers are advised to stay informed about the status of their local stores as the company navigates this restructuring process.

It is not clear which stores will be kept open.