Indeed, it does seem unlikely that Chelsea’s shoppers, or meme stock traders, can save Bed Bath & Beyond now. Another shopper said the company had “kind of screwed themselves”. “It was one hundred per cent a pump-and-dump started by the management,” Patel said. He said he’d followed Bed Bath & Beyond through its existential crisis. “It’s a great store, but at other locations, there’s almost no products on the shelves,” said Chintan Patel. Still, some shoppers were unsure about the company’s future. The company’s Chelsea store appears to be faring better than most, busy with shoppers browsing the aisles but with many items heavily discounted. The company was able to raise $360 million US from the complex deal helping it pay loan defaults and interest payments for senior notes.īut Bed Bath & Beyond terminated the deal in late March and announced plans to sell $300 million US worth of its shares, warning it might have to file for bankruptcy if it could not secure the funds.This week, BB&B was foaming again, with its share price more than doubling over the week amid speculation on online stock forums, including Reddit, that it might be a potential acquisition target. In February, the embattled retailer had planned to raise around $1 billion US through the offering of preferred stock and warrants to avoid bankruptcy. In January, the company raised doubts about its ability to continue as a going concern, just months after it announced more than $500 million US in new financing, as well as job cuts and 150 store closures. In the bankruptcy filing, the retailer said it anticipates closing all of its stores by June 30. The company added that its 360 Bed Bath & Beyond and 120 buybuy BABY stores and websites will remain open and continue serving customers as it starts efforts to effect the closure of its retail locations. While the retailer has begun a liquidation sale, it intends to use the Chapter 11 proceedings to conduct a limited sale and marketing process for some or all of its assets, according to the statement. Nearly empty shelves are seen at a Bed Bath & Beyond store in Naples, Fla., on April 10. The Canadian division, which operates 54 Bed Bath & Beyond stores and 11 buybuy BABY stores, is insolvent, a court filing posted on the website of consultancy Alvarez & Marsal in February showed. The bankruptcy filing comes as Bed Bath & Beyond's Canadian operations are going out of business. That's drastically down from the 32,000 as of February 2022. The company employed 14,000 workers, according to the court filing. The store closings will put thousands of jobs at risk. "It's an institution in retailing, but unfortunately being an institution doesn't protect you from financial woes." A lot of people have grown up with it," said Neil Saunders, managing director of GlobalData Retail. Last year's moves to abandon that strategy, and to bring in more national brands that shoppers recognize, had not shown signs of working, with the company reporting a loss of about $393 million US after sales plunged 33 per cent for the quarter ending Nov. The home goods retailer, which shot to popularity in the 1990s as a go-to shopping destination for couples making wedding registries and planning for new babies, has seen demand drop off in recent years as its merchandising strategy to sell more store-branded products flopped. filed for Chapter 11 bankruptcy protection on Sunday after the home goods retailer failed to secure funds to stay afloat, and has begun a liquidation sale.
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