Big Lots Set to Reopen 132 Stores Across 14 States in May

The once-struggling discount retailer, Big Lots $BIGGQ ( ▲ 12.68% ) is poised to reopen 132 stores across 14 states throughout May 2025, marking a major milestone in the company's post-bankruptcy revival.

This expansion, driven by new owner Variety Wholesalers, signals a renewed strategy focused on competitive pricing, brand-name merchandise, and a reconfigured product mix designed to appeal to today's value-conscious consumers.

Reopening Timeline and Strategy

Big Lots will execute the reopenings in two waves – the first batch of stores will welcome customers on May 1, followed by a second group on May 15^1,^2.

This phased approach allows the company to ensure smooth operations and adequate inventory levels as it reestablishes its market presence^3.

The reopening follows Variety Wholesalers' acquisition of 219 Big Lots locations earlier this year after the retailer filed for Chapter 11 bankruptcy in September 2024^9,^11.

Nine stores have already resumed operations in April across Kentucky, Louisiana, Mississippi, North Carolina, Tennessee, and Virginia, serving as test locations for the company's new merchandising approach.

REOPENING SNAPSHOT:
• Initial 9 stores: Reopened in April 2025
• First wave: 60 stores reopening May 1, 2025
• Second wave: 72 stores reopening May 15, 2025
• Total May reopenings: 132 stores
• States covered: 14

North Carolina, Ohio, and Pennsylvania will see the highest concentration of reopened stores, according to company announcements^13.

The full geographical distribution spans primarily southern and midwestern states, including Alabama, Florida, Georgia, Indiana, Kentucky, Michigan, Mississippi, South Carolina, Tennessee, Virginia, and West Virginia^2,^16.

The Road to Recovery

Big Lots' journey to this reopening stage has been fraught with challenges.

The retailer filed for bankruptcy in September 2024 amidst mounting financial pressures^5. Prior to filing, the company operated approximately 1,400 stores nationwide, but ultimately closed all locations following its acquisition by Gordon Brothers Retail Partners, a firm specializing in distressed assets^11.

The economic environment preceding the bankruptcy was particularly challenging for discount retailers.

In its SEC filings, Big Lots cited macroeconomic challenges including elevated inflation that adversely impacted customer purchasing power^5.

The retailer reported a 10.2% drop in sales during Q1 2024, with executives noting significant pullback in consumer spending, particularly for high-ticket discretionary items^5,^14.

By December 2024, the company had commenced going-out-of-business sales at all remaining locations to protect asset values during the court-supervised process^4.

However, this wasn't the end for the Big Lots brand.

New Ownership, New Direction

Variety Wholesalers, which now operates Big Lots, is positioning the retailer with a refreshed strategy that maintains brand identity while making significant adjustments to merchandise mix^9.

The company already manages approximately 400 stores under various brands, including Roses Discount Stores and Rose's Express^11.

The leadership at Variety Wholesalers sees Big Lots as an opportunity to reach a different, higher-income demographic than their existing retail brands^9.

Variety's president and CEO has indicated that customer response to the initial reopenings has been positive, particularly regarding the expanded assortment of inventory and competitive pricing^1,^2.

VARIETY WHOLESALERS PORTFOLIO:
• Big Lots (219 locations acquired)
• Roses Discount Stores
• Rose's Express
• Maxway
• Total store count: ~400 locations (pre-Big Lots acquisition)

Merchandising Makeover

The revitalized Big Lots stores will feature a significantly different product mix compared to their pre-bankruptcy iteration^9.

Key changes include:

1. Reduced emphasis on furniture, which had been a core category for Big Lots

2. Increased focus on apparel, particularly name-brand items at competitive prices

3. Maintained presence of shelf-stable grocery products and household essentials

4. Greater emphasis on "treasure hunt" shopping experiences with rotating inventory^9

According to Variety Wholesalers, the new Big Lots will operate as an everyday low-price retailer, moving away from the promotional pricing strategy that sometimes confused customers when items were only temporarily discounted.

The company has specifically mentioned carrying products from well-known brands like Tommy Hilfiger, Michael Kors, and Andrew Marc, positioning itself competitively with other off-price retailers^9.

Management hopes this approach will create a distinctive shopping experience that differentiates Big Lots from both Variety's existing Roses stores and other discount competitors.

Market Context and Retail Environment

The reopening of Big Lots stores comes amid a challenging retail landscape. The industry has continued to face headwinds from shifting consumer behaviors, economic pressures, and the lingering effects of the pandemic^10.

According to recent retail industry outlooks, growth is expected in the mid-single digits for 2025, with executives focusing on loyalty programs, digital commerce enhancement, and omnichannel experiences^8.

Consumers across income groups have been trading down to more affordable brands and discount retailers, seeking private label products, and planning purchases around promotional periods – trends that could benefit a revitalized Big Lots^8.

At the same time, consumers remain frustrated with inflation, particularly in grocery categories where prices remain significantly higher than pre-pandemic levels.

Big Lots faces substantial competition in the discount and off-price retail space, including TJ Maxx and Ollie's Bargain Outlet – the latter having taken over 40 former Big Lots leases earlier in 2025^9.

Other retailers have also acquired former Big Lots locations, including Ocean State Job Lot, which purchased 15 stores across the northeastern United States^3.

COMPETITIVE LANDSCAPE - STORE ACQUISITION AFTER BIG LOTS BANKRUPTCY:
• Variety Wholesalers: 219 Big Lots locations
• Ollie's Bargain Outlet: 40 locations
• Ocean State Job Lot: 15 locations (Northeast US)

Operational Challenges and Opportunities

The rapid transition from acquisition to reopening has created some operational challenges for Variety Wholesalers.

The company's leadership acknowledges that initial product assortments won't be perfect, particularly regarding seasonal merchandise.

For example, spring seasonal items like lawn and garden products would have required overseas sourcing last year, which wasn't possible given the timing of the acquisition^9.

However, Variety did proactively purchase inventory for Big Lots even before finalizing the acquisition, anticipating potential tariff increases under the current administration.

This forward-thinking approach may help the company maintain competitive pricing despite supply chain challenges.

Looking Forward

The reopening of 132 Big Lots stores represents just over 60% of the 219 locations acquired by Variety Wholesalers, suggesting potential for additional reopenings in the future^16.

Grand opening celebrations are planned for fall 2025 across all reopened Big Lots stores, indicating the company's confidence in its longer-term prospects.

For investors, Big Lots' revival under Variety Wholesalers offers an interesting case study in retail restructuring and brand repositioning.

The success of these reopenings could signal broader resilience in the discount retail segment, particularly as consumers continue to seek value in an inflationary environment.

While Big Lots faces significant challenges in rebuilding customer awareness and loyalty after its bankruptcy and store closures, its new focus on brand-name merchandise at competitive prices could position it well in today's value-conscious marketplace.

The coming months will reveal whether this strategic pivot can restore Big Lots to retail relevance and profitability.