INDIANAPOLIS (AP) — Consumer electronics chain hhgregg Inc. is going out of business and shutting down all its stores.
The Indianapolis company says Friday it will liquidate its assets after failing to find a buyer for the business. It filed for bankruptcy protection in March.
Founded in 1955, the retailer had 220 stores in 19 states selling major appliances like washers and TVs, as well as computers and home theater systems. As of May last year, it had about 5,000 employees.
Just days before announcing its bankruptcy protection filing last month, hhgregg said it planned to trim down by closing three distribution centers and 88 stores. But the move was not enough to salvage the chain.
“While we had discussions with more than 50 private equity firms, strategic buyers, and other investors, unfortunately, we were unsuccessful in our plan to secure a viable buyer of the business on a going-concern basis within the expedited timeline set by our creditors,” says CEO Bob Riesbeck.
The company says it will start the sale of the merchandise, furniture, fixtures and equipment at its stores and distribution centers on Saturday.
It is the latest brick-and-mortar chain to buckle under due to industry changes from the rise of online shopping. Amazon.com has eaten away at sales of almost every traditional retailer. Earlier this week, shoe chain Payless ShoeSource filed for bankruptcy protection.