Online retailer Overstock to buy some assets of Bed Bath & Beyond (updated)

Bed Bath & Beyond

13/06/2023 19:36

(Adds Bed Bath response in paragraph 3)
       June 13 (Reuters) - Overstock.com  OSTK.O  will buy
certain assets of bankrupt home goods retailer Bed Bath & Beyond
for $21.5 million, the online retailer said on Tuesday.
    The deal, designated a "stalking horse" bid under the U.S.
Bankruptcy Code, will include intellectual property, business
data, rights to mobile applications, and will also assume
certain liabilities of Bed Bath & Beyond.
        Bed Bath will continue to solicit other bids until the
expected deadline on Friday and will undertake an auction next
week to determine the winning bidder if additional bids are
received, the company said in an emailed response to Reuters.
  
    The retailer had delivered 10% of the purchase price in cash
to an escrow agent in immediately available funds, Overstock
said in a regulatory filing.
    Bed Bath & Beyond had in April filed for Chapter 11
bankruptcy protection after struggling with dwindling sales and
a failed merchandising strategy.
    The Wall Street Journal last week reported that retail
investment firm Go Global Retail was in talks with Bed Bath &
Beyond for its Buybuy Baby chain.
        Shares of Overstock were up 3.4% in afternoon trade.
  

 (Reporting by Savyata Mishra in Bengaluru; Editing by Sriraj
Kalluvila and Maju Samuel)
 ((Savyata.Mishra@thomsonreuters.com;))