Big Lots received bankruptcy court approval for a last-minute sale allowing 200 to 400 stores to remain open under new ownership, following the collapse of a previous deal. U.S. Bankruptcy Judge Kate Stickles deemed the agreement with investment firm Gordon Brothers Retail Partners the best option. Although the sale could preserve 5,000 to 10,000 jobs and keep the brand alive, it won’t fully repay vendors, like Tempur Sealy, owed $250 million as Big Lots incurred new debts post-bankruptcy filing. Once the fourth-largest home goods retailer in the U.S., Big Lots has struggled with declining sales and significant debt.
