Former retail giant Bed Bath & Beyond is a making a comeback.
With a catch.
According to reports, Kirkland’s Inc. has successfully finalized a $25 million investment deal with Beyond, the parent company of Bed Bath & Beyond, Overstock, Zulily and BuyBuy Baby.
As part of the deal, Kirkland’s becomes the exclusive brick-and-mortar operator and licensee for new, smaller-format Bed Bath & Beyond stores, which are expected to launch nationwide beginning later this year.
Bed Bath & Beyond to Return to Brick-and-Mortar via Small-Format Stores Operated by Kirkland’shttps://t.co/FALknnAJSP
— Retail TouchPoints (@RTouchPoints) October 21, 2024
Beyond, formerly known as Overstock.com, acquired Bed Bath & Beyond’s intellectual property after the retailer filed for bankruptcy in April 2023.
Beyond has transitioned Bed Bath & Beyond from a brick-and-mortar retailer into an online-first brand while working on reintroducing physical stores through a partnership with Kirkland’s, the home décor and furnishings retailer.
Once a retail giant known for its large selection of home goods and famous 20% off coupons, Bed Bath & Beyond suffered from declining foot traffic, supply chain issues and increased competition from online retailers.
The partnership with Kirkland’s is a crucial component of Beyond’s strategy to bring the brand back to physical retail spaces in a more efficient, neighborhood-focused format.
“Today marks a pivotal moment for Kirkland’s, as the completion of this transaction and the ongoing value of our strategic partnership with Beyond begin to unlock new drivers of transformation following our efforts over the past year focused on revitalizing the Kirkland’s brand,” said Kirkland’s CEO Amy Sullivan in a statement regarding the deal.
“As we look ahead, together with the Beyond team, we will continue to leverage Kirkland’s core strengths, including our merchandising, store operations, and supply chain expertise, to build a cohesive omni-channel strategy for Beyond’s portfolio of iconic brands.”