By Les Masterson
Brookstone, the mall electronic gadget and gift chain, has filed for Chapter 11 bankruptcy protection and plans to sell the stores to the owner of Spencer’s retail chain for about $147 million.
Brookstone said the Merrimack, NH-based chain has been losing millions and has laid off staff and closed stores. The company estimated that it may owe as many as 5,000 creditors as much as $500 million, reported the New York Times.
Spencer Spirit owns the gift and gag store Spencer’s and Spirit Halloween stores.
“The retail industry continues to evolve and staying ahead of the curve is critical,” James M. Speltz, Brookstone’s president and chief executive, said in a statement on Thursday. “A partnership with Spencer Spirit provides us the canvas upon which to sketch our next chapter.”