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Overstocks bids $21.5 million for Bed Bath & Beyond assets


An earlier model of this text gave an incorrect quantity for Overstock’s bid. It’s $21.5 million, not $21.5 billion. The article has been corrected.

Overstock supplied Mattress Bathtub & Past $21.5 million to amass the housewares chain’s mental property and different property, court docket paperwork present.

In a press release, a Mattress Bathtub & Past spokesperson stated Overstock’s stalking horse bid consists of “enterprise information, rights to cell purposes, and sure contracts and different associated property, and to imagine sure specified liabilities of Mattress Bathtub & Past.” It doesn’t embody brick-and-mortar shops.

The corporate is soliciting bids till the deadline on Friday. If there are extra gives, there shall be an public sale on June 21.

Overstock, an online-only residence furnishing market, didn’t instantly reply to a request for remark.

It’s unclear how Overstock would use Mattress Bathtub & Past’s web site, title and information. Different corporations that declared chapter, akin to Radio Shack, Toys R Us and Pier 1, had been resurrected by new homeowners of the manufacturers’ mental property. Web sites for these shops are nonetheless on-line, albeit with extra restricted stock. Model administration firm WHP International, which acquired a controlling stake of Toys R Us mum or dad firm Tru Youngsters in 2019, has began opening shops.

Mattress Bathtub & Past filed for Chapter 11 chapter in late April after the housewares retailer failed to boost $300 million in capital amid plunging gross sales and a tanking share value. The chain is staging store-closing gross sales at its 360 areas and 120 Purchase Purchase Child shops.

The Union, N.J.-based chain had suffered a years-long decline set off by unhealthy investments, patchy stock and dwindling buyer curiosity. Up to now decade, rivals akin to Amazon, Wayfair, Walmart and Goal bolstered their homeware traces, consuming into Mattress Bathtub & Past’s buyer base. (Amazon founder Jeff Bezos owns The Washington Put up.)

Overstock, primarily based in Midvale, Utah, is greatest recognized for promoting furnishings and residential decor at approachable costs. Enterprise boomed throughout the pandemic, peaking at 8 million clients on the finish of 2020, chief government Jonathan Johnson stated throughout the firm’s first-quarter earnings name in April.

The web retailer reported that complete internet income decreased 29 % year-over-year to $381 million. The variety of lively clients additionally declined as buyers pulled again on discretionary spending and the housing market slowed.

Johnson stated the corporate is optimistic that enterprise will choose up within the second half of the 12 months.

“Whereas our strategic give attention to residence has precipitated some ache within the brief time period, we proceed to consider it was and is the precise resolution for our future,” he stated.




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