Casas Bahia Enters Judicial Recovery with R$ 17.3 Billion Debt

Grupo Casas Bahia has filed for judicial recovery after declaring a debt of R$ 17.3 billion. The retailer is currently negotiating with market agents to find financial alternatives and is evaluating options to generate cash, including tax transaction mechanisms and the release of funds deposited in court. The company has also implemented cost cutting measures, which include closing less profitable stores and reducing its workforce. Last week, the retailer closed 298 stores and dismissed approximately 3,000 employees.

Suppliers are reacting to the filing with varying levels of financial exposure. Grupo Multi, formerly known as Multilaser, announced an estimated loss of R$ 20 million in receivables from Casas Bahia. This amount, combined with R$ 11 million previously provisioned, represents 2.29 percent of its net accounts receivable. Grupo Multi stated that the loss is not covered by credit insurance but will not significantly impact the company's financial results for 2026. In contrast, Positivo Tecnologia reported an exposure of nearly R$ 20 million that is fully covered by credit insurance.

The list of unsecured creditors is extensive. Samsung is the primary creditor with R$ 937.6 million in unpaid merchandise, followed by Electrolux at R$ 700.1 million, LG Electronics at R$ 623.7 million, and Motorola Mobility at R$ 619 million. The total debt is divided among unsecured creditors, who hold R$ 16.68 billion, micro and small businesses with R$ 153.8 million, and extraconcursais debts totaling R$ 10.99 billion.