A United Parcel Service employee loads an order onto a truck in the distribution area of the Overstock.com fulfillment center in Salt Lake City, Utah.
Ken James | Bloomberg | Getty Images
Excess inventory.com is fully committed to bankrupt retailer Bed, Bath & Beyond.
The e-commerce home goods retailer said Wednesday it will move to the Bed Bath & Beyond domain name in the coming weeks after ditching its online name and acquiring the intellectual property of a bankrupt rival. Stock announced.
The Bed Bath & Beyond website will relaunch in Canada next week, followed by a website, mobile app and loyalty program in the United States “in the coming weeks.”
Overstock announced the move as it completed its $21.5 million acquisition of Bedbath’s intellectual property and digital assets. The company hopes the brand name will help revive sluggish sales.
“Bed, Bath & Beyond is a well-known and iconic consumer brand in the home retail market,” Overstock CEO Jonathan Johnson said in a statement. “The combination of our successful asset-light business model and the high recognition and loyalty of the Bed Bath & Beyond brand will enhance the customer experience and position us to accelerate market share growth. can make it, right.”
Overstock shares are up nearly 32% this year, despite declining sales. Overstock stocks jumped nearly 5% in extended trading on Wednesday, and also surged when Bed Bath’s asset auction was first revealed to be successful.
Overstock reported revenue of $381 million in its first quarter results in April, down 29% year-on-year. This e-commerce retailer posted his $10 million net loss. Still, the company beat some expectations, according to Street Account.
Overstock will not acquire any physical Bed Bath stores as part of the transaction. The bankrupt home goods retailer is hosting a series of auctions for a myriad of assets, including store leases and “Buy Buy Baby” banner assets.
Many bidders have expressed interest in the Bye Bye Baby stores, but it remains unclear whether they will be acquired and remain in operation.