Big Lots receives court approval of ‘first day’ motions related to Chapter 11

Big Lots announced that it received interim Court approval for certain “first day” motions related to the company’s voluntary Chapter 11 proceedings. Among other relief, the Court granted interim approval for the company to immediately access a portion of its $707.5M post petition financing facilities. This financing, coupled with cash generated from the company’s ongoing operations, is expected to provide sufficient liquidity to support the company while it continues its operations in the ordinary course of business and works to complete the previously-announced sale transaction with an affiliate of Nexus Capital Management LP. Additionally, the interim relief granted by the Court will enable the company to continue paying employee wages and benefits, and making payments to certain critical vendors, in the ordinary course of business. The company expects to pay vendors in full under normal terms for any goods delivered and services provided after the filing. A “second day” hearing for the Court to consider the company’s requested relief on a final basis is currently scheduled to occur on October 9, 2024 at 1:00pm ET. Bruce Thorn, President and Chief Executive Officer, said, “We are focused on delivering on our promise to be the leader in extreme value by helping customers ‘Live BIG and Save LOTS’. With the Court relief we have received today and the support of our lenders, we look forward to moving through this process and emerging as a stronger, more-efficient company, well-positioned to serve our customers. We thank our associates, customers, vendors, and all of our stakeholders for their continued support as we work to achieve Big Lots’ full potential.”