Bed Bath & Beyond, the once popular US home goods retailer that in recent years failed to keep up with the rise of online shopping, filed for Chapter 11 bankruptcy protection on Sunday.
The retailer has been frank about its problems since January after a weak holiday sales period, and has since struggled to manage its debt load with additional financing. The company said it intended to continue to operate its nearly 400 Bed Bath & Beyond stores, and additional 120 Buy Buy Baby locations, while it seeks to find buyers for “some or all of its assets”. It plans to close them all by the end of June.
Investment firm Sixth Street Partners, which previously offered a loan facility to Bed Bath & Beyond, is providing $240mn in debtor-in-possession financing for the bankruptcy proceedings.