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Home décor retailer At Home is reportedly preparing to file for Chapter 11.

Citing sources familiar with the matter, Bloomberg reported that the private equity-owned company’s worsening financial situation has been compounded by the uncertainty surrounding global trade policies and it is scrambling to shore up its liquidity.

After missing an interest payment due May 15, At Home entered a forbearance agreement with its lenders May 23. The arrangement offers a temporary reprieve from creditor action through the end of June, the outlet reported.

The news comes a few weeks after The Wall Street Journal reported that bankruptcy was among the several restructuring options At Home was considering. The company has also been searching for new overseas suppliers in hopes of shifting away from China amid concerns about tariffs.

Founded in 1979, the Dallas-based retailer sells on-trend home products at everyday low prices. Its items include sofas, dining sets, mattresses, patio furniture, lamps, pillows, kitchenware, rugs, mirrors and art. It also offers seasonal décor including yard displays, lights and artificial Christmas trees.

The company was acquired four years ago by Hellman & Friedman for $2.8 billion. It has more than 260 stores across 40 states.

After making its New Jersey debut seven years ago in Cherry Hill, At Home has gone on to launch locations in Wayne, Middletown, Ocean Township, Ledgewood, Princeton, Brick and Turnersville.

Hellman & Friedman declined to comment on Bloomberg’s report.

Party people

Since May 2024, At Home has been helmed by Brad Weston, the former CEO of Party City.

Weston left Party City as the Woodcliff Lake-based specialty retailer emerged from Chapter 11 bankruptcy in October 2023.

At the time, Weston said he believed Party City was on “stronger financial footing” and a “bright future” is ahead for the company. Party City came out of the process with a reduced retail footprint of 750 stores and a strengthened capital structure.

However, Party City still had a debt load of more than $800 million, which dragged down profits and strained liquidity.

In December 2024, Party City declared bankruptcy for the second time in two years and went out of business.