Bankrupt retail chain makes major comeback, reopens new stores | Official Website of Louis Velazquez, entrepreneur, finance guy and tech innovator

Reviving a business after filing for Chapter 11 bankruptcy and facing mass closures is no easy task, but when committed to making a major comeback, it’s also not impossible.

The slowdown in consumer spending has hit well-known companies harder than expected, with many filing for bankruptcy or shutting down multiple locations to pay off their mounting debt.

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This year alone, major retailers like Joann, Party City, and Forever 21 all filed for bankruptcy after decades of serving millions of customers, saying goodbye to a long-lived legacy that might never come back.

But sometimes all that’s needed is time and patience. After all, good things come to those who wait.

Big Lots reopens locations after filing for Chapter 11 bankruptcy.

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Big Lots files for Chapter 11 bankruptcy and faces mass closures

The discount retailer Big Lots filed for Chapter 11 bankruptcy in September of last year, citing a slowdown in consumer spending and increased costs due to rising inflation. By the end of 2024, it had nearly 1,400 stores and was now looking for a new owner.

The retailer thought its problems had been solved when it landed its first acquisition offer from Nexus Capital Management in December. But the celebration was short-lived because the company pulled out of the deal at the last minute. This caused Big Lots to announce a liquidation process in around 545 locations, with more added later.

However, the retailer sealed another acquisition agreement with Gordon Brothers Retail Partners only a month later. This deal enabled Variety Wholesalers to acquire between 200 and 400 Big Lots stores and two distribution centers, which it planned to continue operating under the Big Lots brand.

Under new ownership, Big Lots began reopening stores in April in a series of waves to bring back the beloved brand to loyal customers after its tumultuous bankruptcy filing last year.

After three successful reopening waves, Big Lots is ready for another round.

Big Lots announces its fourth and final store reopening phase

Big Lots announced its fourth and final wave of store reopenings for the year, with 78 new reopened locations that began operating June 5. These stores are in Florida, Georgia, Kentucky, North Carolina, Ohio, Pennsylvania, South Carolina, Tennessee, and Virginia.

The reopening of the 78 additional stores will bring Big Lots to a total of 219 locations in 2025, after it was acquired by its new owner only five months ago.

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To continue expanding the retailer’s brand, Variety Wholesalers plans to purchase more locations lost to the initial round of mass closures and reopen them under new management.

“The connection with the communities we serve, and the positive customer feedback, has been more than we could have imagined,” said Variety Wholesalers President and CEO Lisa Seigies in the announcement. “This enthusiastic response reinforces our belief that taking Big Lots! back to the roots of what made it a huge success resonates with our customers. Providing great value will always be our core mission.”