Bed Bath & Beyond filed for Chapter 11 bankruptcy back in April after several failed attempts to get out of debt and improve its business. The company is in the process of closing down its stores and liquidating inventory. It also sold its intellectual property, including assets related to the Buybuy Baby brand.

Despite all of this, some investors still haven’t given up on Bed Bath & Beyond stock (BBBYQ). The company’s shares have climbed from $0.08 per share at the time of the bankruptcy filing to $0.38 per share at one point in July. BBBYQ is currently trading at the price of $0.32.

If Bed Bath & Beyond’s plan goes through, the shares would be worthless. It calls for the stock to be “canceled, released and extinguished,” and the shareholders would be able to claim any recovery in the future. The plan confirmation hearing is reportedly expected to be scheduled for September.

Bed Bath & Beyond is expected to completely shut all of its stores by the end of July. However, don’t expect the name to go away. Overstock, an internet retailer that bought Bed Bath & Beyond intellectual property, will take on the name for its website and mobile app.

The post Bed Bath & Beyond Shareholders to Receive “Zero Recovery” Under New Reorganization Plan appeared first on theprimarymarket.com.

The retail giant began speaking publicly about its financial issues in January when it stated that there was “substantial doubt” that it would be able to continue operating. It was around this time that the furniture outlet decided to pursue options for restructuring its debt. A month later, JPMorgan Chase & Co. submitted a default notice to the company for breaching terms on a credit line.

While the company received a lifeline in the form of $1 billion from hedge fund Hudson Bay Capital Management, the deal was soon terminated after Bed Bath & Beyond failed to meet stock-price minimums.

Previous efforts to rescue the company included a $375 million rescue loan in 2022 after the retailer closed stores and cut 20% of its workforce. Such efforts proved fruitless, however, as the company continued spending excess money.

The post Bed Bath & Beyond Files Bankruptcy appeared first on theprimarymarket.com.

Bed Bath & Beyond has been flirting with bankruptcy since January as a result of poor sales and thumbing stock. Last month, the company launched a stock-sale effort in an attempt to raise $300 million, saying that missing the mark would force Chapter 11 filing. It also asked shareholders for approval to initiate a reverse stock split in the range of 1-for-5 to 1-for-20 but failed to get it in time.

It became clear in early April that Bed Bath & Beyond would fail to clear the mark. They raised just $48.5 million by April 10th, according to WSJ, and were left with 178 million shares they could sell. Even if they cleared out all of them, they would still only get $70-$80 million considering the stock’s low value.

After Wall Street Journal’s report came out, Bed Bath & Beyond stock (BBBY) saw a slide of almost 20% to drop to $0.38 per share. The company’s shares have now lost 83.77% of their value since the start of 2023.

The post Bed Bath & Beyond Reportedly Preparing for Bankruptcy Filing appeared first on theprimarymarket.com.

Bed Bath & Beyond filed for Chapter 11 bankruptcy back in April after several failed attempts to get out of debt and improve its business. The company is in the process of closing down its stores and liquidating inventory. It also sold its intellectual property, including assets related to the Buybuy Baby brand.

Despite all of this, some investors still haven’t given up on Bed Bath & Beyond stock (BBBYQ). The company’s shares have climbed from $0.08 per share at the time of the bankruptcy filing to $0.38 per share at one point in July. BBBYQ is currently trading at the price of $0.32.

If Bed Bath & Beyond’s plan goes through, the shares would be worthless. It calls for the stock to be “canceled, released and extinguished,” and the shareholders would be able to claim any recovery in the future. The plan confirmation hearing is reportedly expected to be scheduled for September.

Bed Bath & Beyond is expected to completely shut all of its stores by the end of July. However, don’t expect the name to go away. Overstock, an internet retailer that bought Bed Bath & Beyond intellectual property, will take on the name for its website and mobile app.

The post Bed Bath & Beyond Shareholders to Receive “Zero Recovery” Under New Reorganization Plan appeared first on theprimarymarket.com.

The retail giant began speaking publicly about its financial issues in January when it stated that there was “substantial doubt” that it would be able to continue operating. It was around this time that the furniture outlet decided to pursue options for restructuring its debt. A month later, JPMorgan Chase & Co. submitted a default notice to the company for breaching terms on a credit line.

While the company received a lifeline in the form of $1 billion from hedge fund Hudson Bay Capital Management, the deal was soon terminated after Bed Bath & Beyond failed to meet stock-price minimums.

Previous efforts to rescue the company included a $375 million rescue loan in 2022 after the retailer closed stores and cut 20% of its workforce. Such efforts proved fruitless, however, as the company continued spending excess money.

The post Bed Bath & Beyond Files Bankruptcy appeared first on theprimarymarket.com.

Bed Bath & Beyond has been flirting with bankruptcy since January as a result of poor sales and thumbing stock. Last month, the company launched a stock-sale effort in an attempt to raise $300 million, saying that missing the mark would force Chapter 11 filing. It also asked shareholders for approval to initiate a reverse stock split in the range of 1-for-5 to 1-for-20 but failed to get it in time.

It became clear in early April that Bed Bath & Beyond would fail to clear the mark. They raised just $48.5 million by April 10th, according to WSJ, and were left with 178 million shares they could sell. Even if they cleared out all of them, they would still only get $70-$80 million considering the stock’s low value.

After Wall Street Journal’s report came out, Bed Bath & Beyond stock (BBBY) saw a slide of almost 20% to drop to $0.38 per share. The company’s shares have now lost 83.77% of their value since the start of 2023.

The post Bed Bath & Beyond Reportedly Preparing for Bankruptcy Filing appeared first on theprimarymarket.com.