Bed Bath & Beyond in talks to sell Buybuy Baby to Go Global Retail
Reuters
Bed Bath & Beyond is in talks to sell its Buybuy Baby chain to retail investment firm Go Global Retail, the Wall Street Journal reported on Monday citing people familiar with the matter.
The once high-flying home goods chain, which filed for bankruptcy in April, is also fielding interest from online retailer Overstock.com for the intellectual property behind the main Bed Bath & Beyond banner, the report added.
Under the potential deal, Overstock.com would close all remaining physical locations of Bed Bath & Beyond, according to the report.
Bed Bath & Beyond, Go Global Retail and Overstock.com did not immediately respond to Reuters’ requests for comments.
Bed Bath & Beyond succumbed to dwindling sales and mounting losses earlier this year, resulting in a Chapter 11 bankruptcy, with the company also initiating a liquidation sale and moving to shut its stores.
While Bed Bath & Beyond’s eponymous store banner had struggled to pull customers after a failed merchandise strategy, analysts said the Buybuy Baby chain had better chances of drawing buyers after the bankruptcy.
The company had said in April it planned to use the Chapter 11 proceedings to seek outside buyers who could keep its business going or purchase assets such as the baby gear chain.
Bed Bath & Beyond launched store-closing sales across all 360 namesake stores and 120 Buybuy Baby locations across the United States late in April.
Go Global Retail owns children’s clothing brand Janie and Jack and womenswear label ModCloth – which it acquired from Walmart. It primarily invests in consumer retail and fashion businesses.
