Pier 1 Files for Chapter 11 Bankruptcy
The company is in talks with several potential buyers that could acquire the retailer out of bankruptcy.
FT WORTH, TEXAS—Pier 1 announced on Monday that it has launched Chapter 11 bankruptcy proceedings and is pursuing a sale of the company. Several weeks ago it warned it would have to shutter nearly half of its stores and rumors had been swirling that the retailer was set to file for bankruptcy.
The company is in talks with several potential buyers that could acquire the retailer out of bankruptcy and pending court approval qualified bids will be submitted by March 23.
“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,” CEO Robert Riesbeck said in prepared remarks.
In the meantime the company will continue to focus on store closings. “We have worked to establish an appropriately sized and profitable store footprint, operating structure and merchandise assortment,” Riesbeck says.