by THE WOODLANDS, Texas — Troubled home furnishings retailer Conn’s appears to be a giant step closer to filing for bankruptcy according to recent article from Bloomberg and sources close to the retailer.
According to the Bloomberg report Conn’s (NASDAQ:CONN) is readying a potential bankruptcy filing as the company faces sales declines and struggles to integrate a rival chain.
Sources close to the retailer also told Home News Now that said Conn’s has been looking for both operational and financial help from several advisors, including the Berkeley Research Group and Houlihan Lokey Inc.
Late last month, Home News Now’s Tom Russell, reported that the Nasdaq Stock Market has given specialty furniture, bedding and home goods and appliances retailer Conn’s Inc. 60 days to submit a plan to regain compliance with a rule related to the timely filing of its quarterly reports.
In that article, Russell noted that, on June 11, the company notified the U.S. Securities and Exchange Commission that it was unable to file a timely 10-Q financial report for its fiscal first quarter ended April 30. The company said the delay was because it had been unable to complete disclosures related to possible amendments to, or the refinancing of its revolving credit facility that were required to be included in its 10-Q.
Last year, in an effort to grow storefronts and increase volume, Conn’s acquired 120-yer-old W. S. Badcock LLC from Franchise Group LLC. Despite that move, Conn’s has faced 48-months of losses.
At press time, Conn’s shares, which fell 77% this year, took another nosedive and is currently trading at $0.6576.
