Big Lots declares bankruptcy and agrees to be bought by private equity firm [Video]

Big Lots said Monday that it has filed for Chapter 11 bankruptcy protection from its debts, with the discount retailer citing inflation and high interest rates for hurting its business.

The Columbus, Ohio-based company said it intends to sell its assets and what remains of its business to private equity firm Nexus Capital Management. The bankruptcy filing comes a month after Big Lots said it would close as many as 315 stores nationwide, with additional closures coming. 

“Though the majority of our store locations are profitable, we intend to move forward with a more focused footprint,” Bruce Thorn, the retailer’s president and CEO, said in a statement.

The retailer’s core customers have cut their discretionary spending on home and seasonal products, which make up a large portion of Big Lots’ revenue, the company noted. 

Bankruptcy seemed inevitable for the chain, which has posted 16 consecutive quarters …