Bed Bath & Beyond nears final loan terms with Sixth Street- source
2022.08.25 01:30
FILE PHOTO: People walk out of a Bed Bath & Beyond amid the coronavirus disease (COVID-19) pandemic in the Manhattan borough of New York City, New York, U.S., January 27, 2021. REUTERS/Carlo Allegri/
(Reuters) – Bed Bath & Beyond Inc (NASDAQ:BBBY) is nearing final terms with investment firm Sixth Street that would provide the home goods chain a loan of around $370 million, a person familiar with the matter said on Wednesday.
The company did not immediately respond to a request for comment from Reuters.
Earlier this month, Bed Bath said in a regulatory filing it was working with financial advisers and lenders on strengthening its balance sheet, an admission that it needs to raise capital to stay afloat.
It had long-term debt totaling $1.38 billion and only $107.5 million in cash as of May end.
Sixth Street has also provided capital to DSW Designer Shoe Warehouse chain owner Designer Brands (NYSE:DBI), clothing retailer Maurices and department store operator J.C. Penney in the sector.
The embattled retailer has also made headlines with billionaire investor Ryan Cohen selling his entire 9.8% stake five months after amassing it and pushing for changes, drawing the ire of retail investors.
Bed Bath & Beyond in recent days has also ousted its top boss, changed some board directors and said it would explore shedding its baby products division.
The Wall Street Journal first reported the news.
