Fred’s Inc. Taps SB360 as Exclusive Consultant to Conduct Closing Sales in Remaining 81 Stores
BOSTON, Massachusetts – September 11, 2019 – Fred’s Inc., a discount value retailer, has once again tapped SB360 Capital Partners as their exclusive consultant to conduct Store Closing Sales in all 81 remaining Fred’s locations. SB360 Capital Partners (www.sb360.com), one of North America’s leading asset disposition specialists, has closed 442 Fred’s locations since April of this year.
Fred’s Inc. filed a voluntary petition for Chapter 11 on Monday in the U.S. Bankruptcy Court for the District of Delaware. The Court gave interim approval yesterday to the retention of SB360 as a consultant for the Sale.
The Company expects to continue fulfilling pharmacy prescriptions at most of its pharmacy locations, while it continues to pursue the sale of its pharmacies as part of the court supervised proceedings.
Fred’s was founded in 1947 and serves small communities throughout the southeastern United States. Fred’s offers value-priced products across categories that fulfill everyday needs – food, fresh goods, snacks, soda, toiletries, over-the-counter medications, household products, hardware, sporting goods, lawn & garden, toys, and much more. Aside from big-box competitors, Fred’s is frequently the dominant value retailer in the communities that it serves.
Ziggy Schaffer, Executive Vice President of SB360, said, “Fred’s stores are well known and a part of everyday life in the communities they serve. Shoppers know they can find what they want, when they want it, and always at a value-price.”
“In many of their locations, Fred’s stores are the most convenient shopping destination,” said Aaron Miller, Executive Vice President of SB360. “Fred’s customers are in the store every week, and in some cases, multiple times each week.”
Mr. Schaffer and Mr. Miller agreed the customer response will be overwhelming. “What we’ve seen over the last few months is how quickly customers respond to the Closing Sales. They buy cartloads. They buy in bulk. The discounts we offer off Fred’s lowest marked price allows customers to stock up and have money left over. It’s value on top of value.”
Mr. Miller continued, “We encourage shoppers to take advantage of the great deals early in the sale. Quantities are very limited, and we expect shelves to clear quickly.”
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About SB360 Capital Partners, LLC: SB360 Capital Partners (www.sb360.com), a Schottenstein Affiliate, helps businesses manage change, restructure assets, and turn around dwindling profitability. SB360 makes equity investments to infuse capital for growth opportunities, fund turnarounds, and provide liquidity to businesses experiencing change. SB360 acquires assets of all types including inventory, fixed assets, intellectual property, real estate, and complete business units. The firm’s asset disposition services range from providing guaranteed asset value recovery to acting as a liquidation consultant. Additionally, SB360 has entities engaged in real estate advisory, commercial real estate investment, and the operation of the SBC Logistics Asset Recovery Center in Columbus. A lending affiliate, Second Avenue Capital Partners, provides asset-based loans for middle market companies. The principals of SB360 hold extensive commercial interests in national retail and wholesale operations; internationally recognized consumer brands; commercial, residential, and industrial real estate properties; and financial service operations.
About Fred’s Inc.: Since 1947, Fred’s, Inc. has been an integral part of the communities it serves throughout the southeastern United States. Fred’s mission is to make it easy AND exciting to save money. Its unique discount value store format offers customers a full range of value-priced everyday items, along with terrific deals on closeout merchandise throughout the store. For more information about the Company, visit Fred’s website at www.fredsinc.com.