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- Conn’s (NASDAQ:CONN) may file for Chapter 11 bankruptcy in the coming weeks, as the furniture retailer buckles under years of losses and challenges in integrating rival W.S. Badcock that it acquired last year, sources told Bloomberg.
- The news pushed Conn’s (CONN) stock down 31% to $0.72/share before the bell on Tuesday. The shares have declined 77% YTD.
- The plan to file for bankruptcy is not yet finalized and could change, the report noted.
- Conn’s (CONN) has struggled to rein in widening losses as customers cut back on discretionary spending amid high inflation.
- The company had engaged financial advisors to help with its debt and operations, and delayed filing its latest quarterly report with the SEC amid efforts to refinance its revolving credit facility.