Bed Bath & Beyond (BBB) Canada Ltd. has filed for creditor protection under the Companies’ Creditors Arrangement Act (CCCA). The documents were submitted to the Ontario Superior Court of Justice on Feb. 10 and published on the website of the consulting firm that BBB has retained for these matters, Alvarez & Marsal.
They state that the Canadian operation does not have the “capacity or ability to independently effect a recapitalization or restructuring of the Canadian operations without access to cash and support” from the New Jersey-based parent company and its creditors.
There are 54 Bed Bath & Beyond stores in Canada, in addition to 11 buybuy BABY outlets, which are also included in the filing. The American parent raised $225 million in an equity offering last week—but says it needs to get up to $800 million more to stave off bankruptcy. The Alvarez & Marsal filing shows BBB has total assets in Canada of $427 million and total liabilities of $342 million.