Overview

• A bankruptcy court approved the sale of 200 to 400 Big Lots stores and up to two distribution centers to Variety Wholesalers, preserving 5,000 to 10,000 jobs.
• The deal follows the collapse of a previous $760 million agreement with Nexus Capital Management, which left Big Lots on the brink of liquidation.
• Big Lots has already closed hundreds of stores and distribution centers, with nearly 2,000 layoffs planned at its remaining facilities and headquarters by April 2025.
• Industry experts highlight Big Lots' struggles with unclear branding, over-reliance on furniture, and challenges competing with discount giants like Walmart and Dollar General.
• Under its new ownership, Big Lots faces pressure to refine its merchandise strategy, improve real estate positioning, and modernize its digital and in-store customer experiences.