From Home Furnishing Business
Report: Brookstone Prepares Bankruptcy Filing
Specialty retailer Brookstone appears to be preparing to file for bankruptcy protection as early as this weekend, according to a news report.
Brookstone Inc., which sells consumer gadgets ranging from travel electronics to massage chairs, is preparing to file for bankruptcy protection as early as Sunday, with a plan in place to be bought by another specialty retailer, people familiar with the matter said.
Egg Harbor Township, N.J.-based Spencer Spirit Holdings Inc., which owns Spencer's and costume retailer Spirit, has been in discussions with Brookstone for weeks, the people said, as Brookstone battles disappointing sales, weak liquidity and a hefty debt load. The two parties are hoping to finalize sale paperwork over the weekend leading up to a bankruptcy filing, they said.
Spencer Spirit Holdings is expected to pay around $120 million for Brookstone, the people said. Brookstone has about $140 million in debt.
Read Entire Story Source: MarketWatch