Skip to main content

Container Store exits bankruptcy

The Container Store
The Container Store operates more than 100 locations nationwide.

The Container Store Group is now a private company.

The struggling home goods and storage products retailer said it has exited bankruptcy and completed its financial restructuring process, and implemented its reorganization plan. As part of the plan, The Container Store is now a private company, under the ownership of its "supportive" leaders.

The Container Store filed for bankruptcy in December, saying it had negotiated and solicited support for a prepackaged plan of reorganization and expected the entire process to take less than 35 days. According to court documents, the company had about $230 million in debt and just $11.8 million in cash on hand. The filing came two weeks after the retailer was delisted by the New York Stock Exchange.

The Container Store noted it successfully refinanced its short-term debt, significantly reducing previous long-term debt obligations, accessing $40 million in new financing, and modifying its asset-backed lending facility to add $40 million in upsized capacity.

Advertisement - article continues below
Advertisement

"This is a new chapter in our journey as a healthier company well positioned to drive strategic growth initiatives forward," said Satish Malhotra, CEO and president of The Container Store. "With our restructuring process now behind us, we have renewed energy and excitement to deliver for our customers. We are focused on optimizing our business, enhancing our portfolio of organizing solutions and services, and continuously improving the customer experience." 

The Container Store operates more than 100 locations nationwide. 

The Container Store was advised in the matter by Latham & Watkins LLP and Hunton Andrews Kurth LLP as legal counsel, Houlihan Lokey as investment banker, FTI Consulting as financial and communications advisor, and A&G Realty as real estate advisor. The ad hoc group of the company’s term loan lenders were advised in this matter by Paul Hastings LLP, Greenhill & Co. as investment banker, and AlixPartners as financial advisor.

X
This ad will auto-close in 10 seconds