Published on : Saturday, November 7, 2020
The prime owners of American Freight and Buddy’s Home Furnishings, Franchise Group Inc. has recently declared that they have signed an agreement to acquire FFO Home, a furniture retailer with 31 stores in Arkansas, Indiana, Kentucky, Missouri and Oklahoma, subject to a Chapter 11 bankruptcy process.
As part of the agreement, FFO has filed voluntary petitions for Chapter 11 relief in the U.S. District Court for the District of Delaware. FFO will continue normal business operations throughout the sale process until the transaction closes. In addition, Franchise Group is providing FFO with a debtor-in-possession loan as part of its bankruptcy proceedings. The transaction is expected to close by the end of 2020, at which time Franchise Group plans to merge and rebrand the FFO stores with its American Freight business.
“FFO provides us a great opportunity to expand our store footprint and growth at American Freight,” said Brian Kahn, CEO of Franchise Group.
“With the support of Franchise Group, we are asking the court to approve the sale agreement,” said FFO Home CEO Hank Mullany.
Source: Furniture Today