Bed Bath & Beyond nears final loan terms with Sixth Street - source (updated)

Sixth Street Specialty Lending

24/08/2022 23:35

(Adds shares in paragraph 2)
    By Chibuike Oguh
    Aug 24 (Reuters) - Bed Bath & Beyond Inc  BBBY.O  is nearing
final terms with investment firm Sixth Street that would provide
the home goods chain a loan of around $370 million, a person
familiar with the matter said on Wednesday.
    The company did not immediately respond to a request for
comment from Reuters. Shares fell 2% in extended trading after
closing 18% higher on Wednesday.
    Earlier this month, Bed Bath said in a regulatory filing it
was working with financial advisers and lenders on strengthening
its balance sheet, an admission that it needs to raise capital
to stay afloat.  urn:newsml:reuters.com:*:nL1N2ZV0LX
    It had long-term debt totaling $1.38 billion and only $107.5
million in cash as of May end.
    Sixth Street has also provided capital to DSW Designer Shoe
Warehouse chain owner Designer Brands  DBI.N , clothing retailer
Maurices and department store operator J.C. Penney in the
sector.
    The embattled retailer has also made headlines with
billionaire investor Ryan Cohen selling his entire 9.8% stake
five months after amassing it and pushing for changes, drawing
the ire of retail investors.
    Bed Bath & Beyond in recent days has also ousted its top
boss, changed some board directors and said it would explore
shedding its baby products division.
    The Wall Street Journal first reported the news.

 (Reporting by Chibuike Oguh in New York and Praveen Paramasivam
in Bengaluru; Editing by Arun Koyyur)
 ((Praveen.Paramasivam@thomsonreuters.com; https://twitter.com/PraveenR_P
 ; +91 867-525-3569;))