Big Lots shares set for worst day ever after report co seeks financing

Former BL Stores

12/02/2024 17:22

(Updates)
    ** Shares of discount home retailer Big Lots  BIG.N  fall as
much as 32% to a three-month low of $3.65
        ** Stock last down 31.4%, set for its worst day ever
    ** Co is pursuing new financing as it battles years of
losses and diminishing liquidity, Bloomberg News reported on
Saturday, citing sources    
    ** The report says co has been leveraging its current assets
in recent years to preserve its cash reserves, resulting in
fewer assets accessible to support potential new debt
    ** Retailer has reported a sales drop for ten straight
quarters and losses in seven quarters, due to slowing demand
from lower-income consumers in the face of still-high inflation
    ** Co runs a total of 1,425 stores and an e-commerce
platform, per 2022 annual report 
    ** A cash flow was generated, facilitating the repayment of
debt on a $900 million asset-based lending facility, CEO Bruce
Thorn said on Monday
    ** BIG will report its Q4 2023 results on March 7
    ** Stock edged down 47.01% in 2023

 (Reporting by Annett Mary Manoj in Bengaluru)
 ((AnnettMary.Manoj@thomsonreuters.com))