Pier 1 Imports has filed for Chapter 11 bankruptcy and is in talks with potential buyers interested in acquiring the financially troubled company.
Last month, the home furnishings retailer announced plans to close up to 450 of its 942 stores nationwide. The Fort Worth company recorded sales declines across the last nine fiscal quarters. Pier 1 stated it was expecting roughly $256 million from Bank of America, Wells Fargo and Pathlight Capital to help it maintain operations.
“Today’s actions are intended to provide Pier 1 with additional time and financial flexibility as we now work to unlock additional value for our stakeholders through a sale of the company,” Pier 1 CEO Robert Riesbeck said in a press statement. “We are moving ahead in this process with the support of our lenders and are pleased with the initial interest as we engage in discussions with potential buyers.”
The company added that pending court approval, its deadline to submit qualified bids from potential acquirers will be on or around March 23.
The company announced the closing of six of its Connecticut-based stores, including locations in Danbury and Norwalk; a third one in Fairfield County is still operating. In New York, the company is closing 21 stores, including locations in Bedford Hills, Larchmont, Mohegan Lake, Port Chester and White Plains; stores in Middletown, Newburgh, Spring Valley and Yonkers are still open. In its bankruptcy announcement, Pier 1 did not expand the list of stores to be closed.