Bed Bath & Beyond on Monday said it’s attempting to raise more than $1 billion by offering preferred stock, along with warrants to purchase shares of preferred stock and common stock. The company said it expects to initially raise about $225 million. Hudson Bay Capital Management is the main investor in the share sale, Bloomberg reported Tuesday, citing people with knowledge of the matter.
In a securities filing, the company said the cash infusion is needed “to operate our business” and pay debts. Without it, Bed Bath & Beyond “will likely file for bankruptcy protection.” The company in January warned of the possibility of bankruptcy.
The company also named Holly Etlin as its interim chief financial officer, replacing Laura Crossen, who held the role since September, following the death of CFO Gustavo Arnal. Etlin has 30 years of turnaround experience, including serving as the chief restructuring officer at Tailored Brands and as partner and managing director at AlixPartners.Retail Dive