BALTIMORE, MD—Big Lots, the discount retail chain, announced this week that it plans to close all of its remaining stores and go out of business. Fast Company reports that the decision comes after a deal with Nexus Capital Management fell through, leaving the company unable to secure a sale and avoid liquidation.

The company had been struggling financially throughout 2024, facing challenges due to inflationary pressures and reduced customer spending. This resulted in Big Lots closing stores over the summer and filing for Chapter 11 bankruptcy protection in September.

While the company had been working towards an asset purchase agreement with Nexus Capital Management, the deal collapsed due to a valuation appraisal of Big Lots’ inventory coming in below expectations.

Despite the announcement, Big Lots CEO Bruce Thorn expressed hope that an alternative going concern transaction could still be reached, potentially with Nexus or another party. He stated that the company aims to finalize any such deal by early January. If a sale can be completed, some Big Lots stores may be saved.

In the meantime, Big Lots will begin going-out-of-business sales at all of its approximately 870 remaining locations in the coming days. The company did not address the impact of these closures on its employees, who number around 27,000 according to Bloomberg. Unfortunately, most of these workers will lose their jobs when the going-out-of-business sales end.

Big Lots, founded in Columbus, Ohio, in 1967 as Consolidated International, Inc., has seen its stock price plummet this year, reflecting its financial struggles. The company’s shares, which previously traded on the New York Stock Exchange under the ticker “BIG,” are now traded on the over-the-counter exchange OTCPK under the ticker “BIGGQ.” BIGGQ shares traded at 8 cents yesterday, down nearly 99% year-to-date.

This article was written with the assistance of AI and reviewed by a human editor.

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