(Reuters) -Specialty flooring retailer LL Flooring said on Sunday that it had commenced Chapter 11 bankruptcy proceedings and will pursue a going-concern sale of its business.
The company is in active negotiations with multiple bidders and is looking for court approval for the sale of its business in the first few weeks of the bankruptcy proceedings, it said in a statement.
The Richmond, Virginia-headquartered firm also said that it had secured $130 million in debtor-in-possession (DIP) financing from an existing bank group led by Bank of America.
LL Flooring also said that it is looking to close 94 of its stores.
LL Flooring is one of the leading U.S. retailers of hard-wood surface flooring, with over 300 stores across the country.
The company listed estimated assets in the range of $500 million to $1 billion and liabilities in the range of $100 million to $500 million, according to a court filing in the Bankruptcy Court for the District of Delaware.
Last year, LL Flooring said that it was exploring strategic alternatives, including a possible sale. In October 2023, U.S. investment firm Live Ventures offered to buy the company for roughly $180 million in cash.