Dallas-based home goods retail store Tuesday Morning will close over half its stores, including 24 in Texas.
Tuesday Morning filed for Chapter 11 bankruptcy in Fort Worth on Tuesday and has requested the court reject 265 store leases as it plans to close the stores, according to NBC 5 DFW.
The company listed that it had liabilities and assets between $100 million to $500 million in the bankruptcy filing and has secured a $51.5 million debtor-in-possession commitment from Texas-based Invictus Global Management, which will support Tuesday Morning’s operations during the pending case, according to Retail Dive.
“After considering how best to address Tuesday Morning’s exceedingly burdensome debt, we have determined that the best path to reorganizing and transforming the Company begins with a Chapter 11 filing,” Tuesday Morning CEO Andrew Berger said in a statement, according to the Dallas Business Journal.
“Fortunately, we have the support of a committed capital provider in Invictus and a clear vision for transforming into a focused retailer that serves its core, heritage markets in a profitable manner.”
This is the second time the company has filed for Chapter 11, previously filing in 2020 when it closed 200 stores citing the pandemic, according to The Wall Street Journal. The retailer successfully emerged from its first bankruptcy in early 2021, according to a press release.
Tuesday Morning announced a 1-for-30 reverse stock split in November to prop up its share price, but less than a month later, the company announced a voluntary delisting of its stock from Nasdaq, according to a press release.
The company currently has 487 locations nationwide.
Four stores in Fort Worth will close, as well as locations in Bedford, Burleson, Garland, Granbury, Lewisville, Plano, and Hurst, the outlet said.
Store liquidator Gordon Brothers will handle the store closures.
Tuesday Morning was started in Dallas in 1974.
