"Conn's Inc. Stock Plummets Following Reports of Hiring Advisers to Tackle Debt Issues
Shares of home goods retailer Conn's Inc. (NASDAQ:CONN) saw a sharp decline of 16% in response to recent developments. The company has reportedly brought in financial advisers to address its debt concerns and facilitate the integration of a new chain of stores acquired last year.
New Financial Guidance
According to sources cited in a Bloomberg report on Wednesday, Conn's has enlisted the expertise of Houlihan Lokey Inc. as a financial adviser and Berkeley Research Group for operational support.
Challenges Faced by Conn's
This year has been particularly challenging for Conn's, with its shares plummeting by 56%. The company is currently navigating the complexities of refinancing its debt while also catering to a customer base grappling with financial strain due to rising inflation.
Financial Reporting Delays
In a recent development, Conn's postponed the submission of its quarterly financial report as it focuses on potential adjustments to its revolving credit facility or exploring refinancing options.
Amidst these ongoing efforts to stabilize its financial position, Conn's Inc. remains under scrutiny as investors monitor the company's strategic decisions and their impact on its market performance."