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Bed Bath & Beyond, Inc., owner of Bed Bath & Beyond, Overstock, buybuy BABY, Kirkland’s and a blockchain asset portfolio, recently announced it has signed a letter of intent to acquire the equity interests and substantially all assets of F9 Brands, Inc., which owns and operates Cabinets To Go, Lumber Liquidators, Gracious Home/Thos. Baker and Southwind Building Products.
The transaction purchase price of nearly $150 million is comprised of $37 million in cash and around 16 million shares of BBBY common stock at $7.00 per share, representing a transaction value of $107 million at the current market price. The transaction will represent a step in building a national, fully integrated home services platform under Beyond Home Services.
“With the anticipated addition of Lumber Liquidators and Cabinets To Go to Elfa and Closet Works, Beyond Home Services is established with the brands, the capabilities and the team to serve the homeowner from concept to completion,” says Marcus Lemonis, executive chairman and CEO of Bed Bath & Beyond. “Each brand owns a distinct category—modular storage systems, custom closets, flooring, cabinets and countertops, carpet and hard surface flooring distribution—and together with our installation services and field sales organization, we can take the homeowner through the full lifecycle of a renovation, all under one platform.”
In addition to the standalone Cabinets To Go and Lumber Liquidators stores, BBBY customers will have access to F9 Brands’ products and services through the Custom Spaces section of The Container Store/Bed Bath and Beyond stores. The company will leverage more than 2.2 million square feet of retail space to create full-service home project centers where customers can design, purchase, finance and install complete home solutions.
