Jan 18 (Reuters) – Mattress Tub & Past Inc (BBBY.O) has been in talks with potential consumers and lenders because the struggling retailer tries to maintain its enterprise afloat forward of a probable chapter submitting, CNBC reported on Wednesday.
The corporate is within the midst of a sale course of to discover a purchaser that might hold enterprise operating at each its eponymous retailer banner and its buybuy Child chain, the report added, citing individuals acquainted with the matter.
The house items retailer’s advisers are additionally searching for a mortgage of at the least $100 million forward of a possible chapter submitting, which may happen within the coming weeks, the report stated.
Mattress Tub & Past stated in an emailed assertion to Reuters that it doesn’t “touch upon hypothesis or particular relationships”.
The New York Instances reported final week that the Union, New Jersey-based firm was in talks with personal fairness agency Sycamore Companions for the sale of its belongings, together with buybuy Child shops, as a part of a doable chapter course of.
Whereas Sycamore is very within the buybuy Child chain – which helped Mattress Tub & Past get a $375 million mortgage final yr – sale of the corporate as a complete can be being thought of, though with a a lot smaller footprint of shops than it at present has, the CNBC report stated on Wednesday.
Genuine Manufacturers, proprietor of style labels together with Eternally 21 and Aeropostale, has additionally been taking a look at Mattress Tub & Past, the report stated. Genuine Manufacturers declined to remark.
Mattress Tub & Past earlier this month posted a a lot bigger-than-expected quarterly loss and noticed a plunge in gross sales, and stated it could lay off extra staff to chop prices because it struggles with a dwindling money pile.
Reporting by Deborah Sophia in Bengaluru; Enhancing by Devika Syamnath
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