Mattress Firm to file for bankruptcy

Wednesday, 03. October 2018 02:17

Steinhoff International's subsidiary Mattress Firm Inc. is preparing to file for bankruptcy protection in order to save itself from expensive store leases, CNBC reported citing people familiar with the matter. While the Houston-based firm is the largest US mattress retailer with over 3000 locations in America, it has been having difficulties with the rise of online retail.

The bankruptcy process is expected to be completed within a couple of months, during which the retailer is likely to sell some of its stores, sources claimed, adding the vendors will be repaid in full.

Steinhoff, Mattress's parent company faces its own difficulties with debt and fraud allegations which are being investigated by the German authorities. It bought the US retailer in 2016 for $3.8 billion.

Related Links: Steinhoff International Holdings N.V.
Author:
Breaking the News / MD