There have been a fair number of bankruptcy filings by retailers in the past year or so. One study published in April found “…43 large retail or supermarket companies, which owned chains with 10 or more locations, have filed for bankruptcy in the United States since January 2015. The 43 companies controlled 52 brick-and-mortar chains. Retailers selling only online and restaurants were excluded from the count." Forty percent of these companies (i.e., 18) were the result of a leveraged buyout (LBO) by a private equity (PE) firm. Almost all of these LBOs saw their debt blossom while large payouts were made to the private equity firm.
Did the SEC say anything?
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