Ollie’s Bargain Outlet Acquires Former Big Lots Stores
Ollie's Bargain Outlet Holdings, Inc. (NASDAQ: OLLI) has successfully bid to acquire seven former Big Lots store leases through a bankruptcy auction. Six of these stores have received final approval from the U.S. Bankruptcy Court, with one pending approval. The acquisition is part of Big Lots' first wave of store closures, which included 143 stores.
CEO John Swygert expressed satisfaction with the acquisition, noting that the stores are well-sized, located in good trade areas, and have a history of serving value-oriented customers. Most of the acquired stores are in the Midwest, an area where Ollie's sees significant growth potential and has a new distribution center.
Ollie's plans to prioritize opening these acquired stores, adjusting their existing pipeline of new store openings to optimize productivity and reduce pre-opening expenses. The company maintains its plan to open 50 new stores, less two planned closures, in fiscal 2024, and is evaluating how these new acquisitions will impact future store openings and timing.
Ollie's Bargain Outlet Holdings, Inc. (NASDAQ: OLLI) ha presentato un'offerta vincente per acquisire sette ex locazioni di negozi Big Lots attraverso un'asta di fallimento. Sei di questi negozi hanno ricevuto l'approvazione finale da parte del Tribunale Fallimentare degli Stati Uniti, mentre uno è in attesa di approvazione. L'acquisizione fa parte della prima fase di chiusure di negozi da parte di Big Lots, che ha coinvolto 143 negozi.
Il CEO John Swygert ha espresso soddisfazione per l'acquisizione, sottolineando che i negozi sono ben dimensionati, situati in buone aree commerciali e hanno una storia di servizio ai clienti orientati al valore. La maggior parte dei negozi acquisiti si trova nel Midwest, un'area in cui Ollie's vede un potenziale di crescita significativo e dispone di un nuovo centro di distribuzione.
Ollie's prevede di dare priorità all'apertura di questi negozi acquisiti, adattando il proprio piano esistente di aperture di nuovi negozi per ottimizzare la produttività e ridurre le spese ante-apertura. L'azienda mantiene il suo piano di aprire 50 nuovi negozi, meno due chiusure pianificate, nel 2024 fiscale, e sta valutando come queste nuove acquisizioni influenzeranno le aperture future dei negozi e il relativo tempismo.
Ollie's Bargain Outlet Holdings, Inc. (NASDAQ: OLLI) ha presentado una oferta exitosa para adquirir siete ex arrendamientos de tiendas Big Lots a través de una subasta de quiebra. Seis de estas tiendas han recibido aprobación final del Tribunal de Quiebras de EE. UU., mientras que una está pendiente de aprobación. La adquisición es parte de la primera ola de cierres de tiendas de Big Lots, que incluyó 143 tiendas.
El CEO John Swygert expresó su satisfacción con la adquisición, señalando que las tiendas son bien dimensionadas, ubicadas en buenas áreas comerciales y tienen un historial de atención a clientes orientados al valor. La mayoría de las tiendas adquiridas se encuentran en el Medio Oeste, una área en la que Ollie's ve un potencial significativo de crecimiento y tiene un nuevo centro de distribución.
Ollie's planea dar prioridad a la apertura de estas tiendas adquiridas, ajustando su pipeline existente de aperturas de nuevas tiendas para optimizar la productividad y reducir los gastos previos a la apertura. La empresa mantiene su plan de abrir 50 nuevas tiendas, menos dos cierres planificados, en el fiscal 2024, y está evaluando cómo estas nuevas adquisiciones afectarán las futuras aperturas de tiendas y su cronograma.
Ollie's Bargain Outlet Holdings, Inc. (NASDAQ: OLLI)는 파산 경매를 통해 일곱 개의 이전 Big Lots 매장 임대차 계약 인수 입찰에 성공했습니다. 이들 중 여섯 개는 미국 파산 법원으로부터 최종 승인을 받았고, 하나는 승인 대기 중입니다. 이번 인수는 Big Lots의 첫 번째 매장 폐쇄 파동의 일환으로, 총 143개의 매장이 포함되었습니다.
CEO John Swygert는 인수에 대한 만족감을 표명하며, 이 매장들이 적절한 규모와 좋은 상업 지역에 위치하고 있으며 가치 지향적인 고객에게 서비스를 제공한 역사가 있다고 언급했습니다. 인수된 매장의 대부분은 중서부에 위치하고 있으며, Ollie's는 이 지역에서 상당한 성장 잠재력을 보고 있으며, 새로운 물류 센터가 있습니다.
Ollie's는 이 인수한 매장의 개장을 우선시할 계획이며, 기존의 새 매장 개장 계획을 조정하여 생산성을 최적화하고 개장 전 비용을 줄일 것입니다. 회사는 2024 회계 연도에 50개의 새로운 매장을 열 계획이며, 예정된 두 개의 폐점을 제외하고, 이러한 새로운 인수가 향후 매장 개장 및 시기에 미칠 영향을 평가하고 있습니다.
Ollie's Bargain Outlet Holdings, Inc. (NASDAQ: OLLI) a réussi à soumettre une offre pour acquérir sept anciens baux de magasins Big Lots lors d'une enchère de faillite. Six de ces magasins ont reçu l'approbation finale du tribunal des faillites des États-Unis, tandis qu'un est encore en attente. Cette acquisition fait partie de la première vague de fermetures de magasins de Big Lots, qui comprenait 143 magasins.
Le PDG John Swygert a exprimé sa satisfaction concernant cette acquisition, notant que les magasins sont bien dimensionnés, situés dans de bonnes zones commerciales et ont un historique de service auprès de clients orientés vers la valeur. La plupart des magasins acquis se trouvent dans le Midwest, une région où Ollie's voit un potentiel de croissance significatif et dispose d'un nouveau centre de distribution.
Ollie's prévoit de prioriser l'ouverture de ces magasins acquis, en ajustant son pipeline existant d'ouvertures de nouveaux magasins pour optimiser la productivité et réduire les dépenses avant l'ouverture. L'entreprise maintient son plan d'ouvrir 50 nouveaux magasins, moins deux fermetures prévues, au cours de l'exercice fiscal 2024, et évalue comment ces nouvelles acquisitions auront un impact sur les futures ouvertures de magasins et leur calendrier.
Ollie's Bargain Outlet Holdings, Inc. (NASDAQ: OLLI) hat erfolgreich ein Angebot zur Übernahme von sieben ehemaligen Big Lots Mietverträgen im Rahmen einer Insolvenzauktion abgegeben. Sechs dieser Geschäfte haben die endgültige Genehmigung des US-Insolvenzgerichts erhalten, während eines noch auf Genehmigung wartet. Die Übernahme ist Teil der ersten Welle von Geschäftsschließungen durch Big Lots, die insgesamt 143 Geschäfte umfasst.
CEO John Swygert äußerte seine Zufriedenheit mit der Übernahme und betonte, dass die Geschäfte gut dimensioniert sind, sich in guten Handelsgebieten befinden und eine Geschichte im Dienst an wertorientierten Kunden haben. Die meisten der übernommenen Geschäfte befinden sich im Mittleren Westen, einem Gebiet, in dem Ollie's erhebliches Wachstumspotenzial sieht und ein neues Vertriebszentrum hat.
Ollie's plant, die Eröffnung dieser übernommenen Geschäfte zu priorisieren und passt seine bestehende Pipeline neuer Geschäftseröffnungen an, um die Produktivität zu optimieren und Vorabkosten zu reduzieren. Das Unternehmen behält seinen Plan bei, im Geschäftsjahr 2024 50 neue Geschäfte zu eröffnen, abzüglich zwei geplanter Schließungen, und bewertet, wie sich diese neuen Übernahmen auf zukünftige Geschäftseröffnungen und deren Timing auswirken werden.
- Acquisition of seven former Big Lots store leases through bankruptcy auction
- Expansion into the Midwest market with high growth potential
- Stores are well-sized and located in good trade areas
- Alignment with existing customer base (value-oriented customers)
- Potential for increased market presence and revenue growth
- Maintaining plan to open 50 new stores (less two closures) in fiscal 2024
- One store acquisition still pending bankruptcy court approval
- Potential reshuffling of existing store opening plans may impact short-term growth
- Integration costs and expenses associated with acquiring and opening new stores
Insights
Ollie's acquisition of seven former Big Lots stores through a bankruptcy auction is a strategic move that could significantly impact the company's growth trajectory. This expansion, primarily in the Midwest, aligns with Ollie's recent distribution center investment in the region, potentially enhancing operational efficiency and market penetration.
The acquisition demonstrates Ollie's opportunistic approach to expansion, capitalizing on the distress in the retail sector. By acquiring established locations, Ollie's can potentially reduce new store opening costs and accelerate its growth plan. The company's ability to maintain its fiscal 2024 target of 50 net new stores (48 openings after closures) while integrating these acquisitions suggests strong execution capabilities.
Investors should note that this move, combined with the earlier acquisition of 99 Cents Only stores, indicates an aggressive growth strategy that could drive revenue and market share gains. However, it's important to monitor the integration process and the performance of these new stores to assess the long-term value creation potential of this strategy.
Ollie's acquisition of former Big Lots stores represents a significant opportunity in the discount retail space. By taking over established locations, Ollie's can potentially benefit from existing customer awareness and foot traffic patterns, which could lead to faster store ramp-up and improved return on investment.
The focus on the Midwest is particularly noteworthy, as it's an underserved market for Ollie's with high growth potential. This move could help the company establish a stronger presence in a region where it previously had exposure, potentially leading to increased market share and economies of scale.
The strategy of reshuffling planned store openings to prioritize these acquired locations is smart, as it allows Ollie's to capitalize on immediate opportunities while maintaining its overall growth targets. This flexibility in execution could be a key differentiator in the competitive discount retail landscape, potentially leading to accelerated growth and improved financial performance.
HARRISBURG, Pa., Oct. 01, 2024 (GLOBE NEWSWIRE) -- Ollie’s Bargain Outlet Holdings, Inc. (NASDAQ: OLLI) (the “Company”) today announced that it was the winning bidder in a bankruptcy sale process to acquire seven former Big Lots, Inc. (“Big Lots”) store leases. The seven stores were part of a bankruptcy auction for the first wave of Big Lots store closures, which included 143 stores. Six of the seven stores have already completed the sale hearing process and received final approval from the United States Bankruptcy Court for the District of Delaware. The remaining one store is subject to final bankruptcy court approval and customary closing conditions.
John Swygert, Chief Executive Officer of Ollie’s stated, “We are very pleased to be the winning bidder for these store locations in the initial wave of Big Lots store closures. These stores are the right size, located in good trade areas, and have served value-oriented customers for years. In addition, the majority of these stores are located in the Midwest, an area where we have tremendous growth potential and a brand-new distribution center.”
Mr. Swygert continued, “Similar to the 99 Cents Only stores that we acquired recently through a separate bankruptcy process earlier this year, we will prioritize the opening of the acquired Big Lots stores and reshuffle other planned new store openings in our existing pipeline to maximize new store productivity and minimize pre-opening expenses. We continue to plan to open 50 new stores, less two planned closures, in fiscal 2024 and are evaluating the impact of these stores on our future store openings and cadence.”
About Ollie’s
We are America’s largest retailer of closeout merchandise and excess inventory, offering Real Brands and Real Bargain prices®! We offer extreme value on brand name products in a variety of departments, including housewares, food, books and stationery, bed and bath, floor coverings, toys, health and beauty aids, and more. We currently operate 541 stores in 31 states and growing! For more information, visit http://www.ollies.us
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as “could,” “may,” “might,” “will,” “likely,” “anticipates,” “intends,” “plans,” “seeks,” “believes,” “estimates,” “expects,” “continues,” “projects” and similar references to future periods, or by the inclusion of forecasts or projections, the outlook for the Company’s future business, prospects, financial performance, including our fiscal 2024 business outlook or financial guidance, and industry outlook. Forward-looking statements are based on our current expectations and assumptions regarding our business, capital market conditions, the economy and other future conditions. Because forward-looking statements relate to the future, by their nature, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. As a result, our actual results may differ materially from those contemplated by the forward-looking statements. Important factors that could cause actual results to differ materially from those in the forward-looking statements include regional, national or global political, economic, business, competitive, market and regulatory conditions, including, but not limited to, supply chain challenges, legislation, national trade policy, and the following: our failure to adequately procure and manage our inventory, anticipate consumer demand or achieve favorable product margins; changes in consumer confidence and spending; risks associated with our status as a “brick and mortar” only retailer; risks associated with intense competition; our failure to open new profitable stores, or successfully enter new markets, on a timely basis or at all; fluctuations in comparable store sales and results of operations, including on a quarterly basis; factors such as inflation, cost increases and energy prices; the risks associated with doing business with international manufacturers and suppliers including, but not limited to, potential increases in tariffs on imported goods; our inability to operate our stores due to civil unrest and related protests or disturbances; our failure to properly hire and to retain key personnel and other qualified personnel; changes in market levels of wages; risks associated with cybersecurity events and the timely and effective deployment, protection and defense of computer networks and other electronic systems, including email; our inability to obtain favorable lease terms for our properties; the failure to timely acquire, develop, open, and operate, or the loss of, or disruption or interruption in the operations of, any of our centralized distribution centers; risks associated with our lack of operations in the growing online retail marketplace; risks associated with litigation, the expense of defense, and potential for adverse outcomes; our inability to successfully develop or implement our marketing, advertising and promotional efforts; the seasonal nature of our business; risks associated with natural disasters, whether or not caused by climate change; outbreak of viruses, global health epidemics, pandemics, or widespread illness; changes in government regulations, procedures and requirements; and our ability to service indebtedness and to comply with our financial covenants together with each of the other factors set forth under the heading “Risk Factors” in our filings with the United States Securities and Exchange Commission (“SEC”). Any forward-looking statement made by us in this press release speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. Ollie’s undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. You are advised, however, to consult any further disclosures we make on related subjects in our public announcements and SEC filings.
Investor Contact:
John Rouleau
ICR
John.Rouleau@icrinc.com
Media Contact:
Tom Kuypers
Senior Vice President – Marketing & Advertising
717-657-2300
tkuypers@ollies.us
FAQ
How many former Big Lots stores did Ollie's Bargain Outlet (OLLI) acquire?
What is the status of the Big Lots store acquisitions by Ollie's (OLLI)?
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How will the Big Lots store acquisitions affect Ollie's (OLLI) store opening plans for fiscal 2024?
