Ollie's Bargain Outlet Holdings, Inc. (NASDAQ: OLLI) is set to enhance its retail footprint following the acquisition of seven former Big Lots store leases won through a recent bankruptcy auction. This acquisition comes as part of the ongoing restructuring efforts of Big Lots, which included the closure of 143 stores.
Details of OLLI's Acquisition of 7 Big Lots' Stores
Of the seven stores, Ollie's Bargain has received the final clearance and approval for six stores from the United States Bankruptcy Court for the District of Delaware. The seventh store is expected to receive the necessary approvals soon.
What makes these stores an ideal choice is that these have the required size, situated in prime trade areas and align with OLLI's commitment to serving value-oriented customers. Not only this but these stores also are located in the Midwest, a region where OLLI sees significant growth potential and has opened a new distribution center.
Similar to the 99 Cent Only stores' acquisition, OLLI's primary focus is on opening the acquired Big Lots stores while adjusting the schedule for other planned store openings in its pipeline to optimize productivity and reduce pre-opening costs. For fiscal 2024, the company anticipates 50 new stores and two planned closures.
Ollie's Bargain's acquisition of former Big Lots stores signifies a strategic growth initiative within the competitive retail landscape. Currently, OLLI operates 541 stores across 31 states. The company's long-term plan is to operate 1300 stores across the United States.
What More Should Investors Know About OLLI?
Ollie's Bargain business model of "buying cheap and selling cheap", cost-containment efforts, focus on store productivity and expansion of customer reward program and ...
