- Party City ( NYSE: PRTY ) fell 15% on a report that the retailer is preparing to file for bankruptcy within weeks.
- Party City has hired AlixPartners as a restructuring adviser and the party retailer is in talks with bondholders to convert debt into equity as it tries to reduce its balance sheet, according to a WSJ report, which cites people familiar. The company also plans to shut down some stores.
- The report comes after Bloomberg last month said that creditors of Party City ( PRTY ) were coming together and hiring advisers as the retailer faces restructuring.
- Party City ( PRTY ) short interest is 15%.
For further details see:
Party City drops on report of potential bankruptcy filing within weeks