Home furnishings cataloger/retailer Storehouse is to close all 77 of its stores and its direct business following a court-ordered bankruptcy liquidation sale.
Two weeks ago Storehouse announced it was looking for a new strategic partner after its parent company, Rowe Cos., filed for bankruptcy. The filing allowed Rowe to sell Storehouse while completing its restructuring plans. But it was unable to sign a deal with a potential purchaser.
Acquired by Rowe Cos. in 1999, Atlanta-based Storehouse had sales of $151.8 million for its fiscal year ended in November 2005. Combined with Storehouse, Rowe Cos.’ sales for fiscal 2005 were $299.4 million. McLean, VA-based Rowe Cos. is one of the largest U.S. upholstery manufacturers.
Newton, MA-based Hudson Capital Partners, a national firm specializing in retail dispositions and asset recovery, is managing the liquidation sale. “The Storehouse liquidation sale was ordered following exhaustive efforts to sell the chain or obtain fresh equity, which proved unsuccessful,” Hudson Capital Partners cofounder Jim Schaye said in a release. “The inventory to be liquidated has a value of approximately $60 million.”