Wholesaler True Value in Bankruptcy to Sell Itself to Rival (1)

Wholesaler True Value Co. filed for bankruptcy in Delaware on Monday as it seeks to sell its business to rival Do it Best Corp.

The Chicago-based home-improvement company will continue to operate under Chapter 11 protection with Do it Best providing a so-called stalking horse bid, meaning that it’s subject to better offers, should any materialize, according to a company statement. The bidder offered to pay $153 million in cash, according to the bankruptcy filing.

“After a thorough evaluation of strategic alternatives, we determined that the sale of our business was the path forward to maximize value and ...