Back in September 2024, discount retailer Big Lots filed for chapter 11 bankruptcy. At the time, the company shared that the biggest reasons they are struggling are due to consumers spending less on seasonal products and home items. They believe high inflation and interest rates are partly the reasons behind these changes in consumer spending.

Now for the good news. Big Lots has reached a deal to keep more locations open than they originally thought would be possible, and the deal also means a lot of employees will get to keep their jobs.

NPR reports Big Lots is selling their brand, stores and distribution centers to  Gordon Brothers Retail Partners, which is a firm specializing in distressed retail stores. The stores, distribution centers and assets will then be transferred to other retailers.

That doesn’t mean the end of Big Lots.

Variety Wholesalers Inc. plans to acquire between 200 to 400 Big Lots retail stores, and the company plans to operate the stores under the Big Lots brand, meaning, not a lot will change. Variety Wholesalers Inc. also plans to acquire up to two Big Lots distribution centers.

Big Lots President and CEO Bruce Thorn explained the sale in a statement. He shared, “This sale agreement and transfer present the strongest opportunity to preserve jobs, maximize value for the estate and ensure continuity of the Big Lots brand.”

Thorn added, “We are grateful to our associates nationwide for their grit and resilience throughout this process.”

Currently, Big Lots has 869 locations in the United States. The original plan was to sell the company to a private equity firm called Nexus Capital Management.

That deal ultimately didn’t work out, so the deal with Gordon Brothers Retail Partners was made instead.

Now, Big Lots is working with Gordon Brothers to liquidate store inventory via going out of business sales.

Watch the video below to learn more about the fate of Big Lots.

Does it surprise you that some Big Lots stores will continue to exist?