Bed Bath & Beyond Shares Drop 15% As Company Plans To Sell $300 Million In Stocks To Stave Off Bankruptcy

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Shares of Bed Bath & Beyond dropped by more than 15% Thursday morning following an announcement it plans to offer and sell up to $300 million in common stocks in its latest bid to stave off bankruptcy.

Shares of Bed Bath & Beyond dropped by more than 15% Thursday morning following an announcement it plans to offer and sell up to $300 million in common stocks in its latest bid to stave off bankruptcy—as the hamstrung home goods retailer’s financial woes continue.... [+]Bed Bath & Beyond’s shares fell by 15.73% to an all-time low of 68 cents Thursday morning, continuing a downward slide — its shares have now fallen by nearly 71% on the year.

”it might need to file for bankruptcy protection if it does not receive proceeds from its program, in which case shareholders “will likely receive no recovery at all for the securities offered.”the move will “enable us to create the necessary financial runway to begin restoring our iconic Bed Bath & Beyond,” saying the company has raised $360 million of equity capital since the start of last month .

 

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