LL Flooring Seeks Bankruptcy to Pursue Business Sale, Reports Reuters

LL Flooring, a specialty flooring retailer, announced on Sunday that it has initiated Chapter 11 bankruptcy proceedings and aims to facilitate a going-concern sale of its business.

The company is currently engaged in negotiations with several potential buyers and seeks court approval to sell its business within the initial weeks of the bankruptcy process. Furthermore, LL Flooring has obtained $130 million in debtor-in-possession (DIP) financing from a banking group led by Bank of America.

In addition, LL Flooring is planning to close 94 of its retail locations. Headquartered in Richmond, Virginia, the company is recognized as one of the leading U.S. retailers of hardwood surface flooring, operating over 300 stores nationwide.

According to a court filing in the Bankruptcy Court for the District of Delaware, LL Flooring has estimated its assets to be between $500 million and $1 billion, while its liabilities are estimated to be in the range of $100 million to $500 million.

Last year, LL Flooring indicated that it was exploring strategic alternatives, including a potential sale. In October 2023, U.S. investment firm Live Ventures made an offer to acquire the company for approximately $180 million in cash.