Connect with us

Hi, what are you looking for?

Stock

Bed Bath & Beyond just filed for Chapter 11 bankruptcy

Bed Bath & Beyond Inc (NASDAQ: BBBY) just announced to have filed for Chapter 11 bankruptcy protection after none of its efforts in recent months raised capital needed to continue operations.

Here’s what we know so far

Sixth Street is lending roughly $240 million in “DIP” (debtor-in-possession financing) for the big box retailer to finance operations through the process. The press release reads:

Company intends to uphold its commitment to customers, employees, and partners, including continued payment of wages and benefits, maintaining customer programmes, and honoring obligations to vendors.

Last month, the Nasdaq-listed firm reported preliminary results for its fourth quarter that projected a 41% decline in sales to $1.2 billion on continued operating losses.

Bed Bath & Beyond shares are trading for less than a dollar since late March.

Share sales failed to raise enough capital

According to its filings with the New Jersey District Court, Bed Bath & Beyond had about $5.2 billion in debt and $4.4 billion in assets as of the last November. Its press release also confirmed today:

Company has sought authority to market Bed Bath & Beyond and buybuy BABY as part of an auction and is also strategically managing inventory to preserve value.

The Union-headquartered firm had first warned of potential bankruptcy in January.

In subsequent months, its management resorted to several financial maneuvers to keep the company alive including selling over a million shares that raised $48.5 million only (read more). The meme stock had once traded at a high of $35 a share.

The post Bed Bath & Beyond just filed for Chapter 11 bankruptcy appeared first on Invezz.

    You May Also Like

    Stock

    On the surface, index and stock options are very similar. Still, there are some differences that traders should be aware of. Understanding these differences...

    Latest News

    The FBI was not forthcoming with the Trump, Biden and Pence classified documents during a House Intelligence Committee briefing last week, and lawmakers still...

    Editor's Pick

    iBASIS and Sequans have been selected by Actility to meet its delivery schedule for eSIM and iSIM iBASIS and Sequans now considered frontrunners in...

    Economy

    American Airlines is getting rid of its traditional frequent flyer award chart as the carrier moves toward dynamic pricing for mileage redemptions, the latest shift in its lucrative AAdvantage...

    Disclaimer: Richpeoplenetworks.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.


    Copyright © 2024 Richpeoplenetworks.com