Bed Bath & Beyond Inc. has filed for Chapter 11 bankruptcy in Delaware and will wind down its business while it looks for an entity to buy some or all of its assets. A filing had been expected for months as no buyer emerged.
The chain has three stores in Delaware, one in Christiana, another in Rehoboth, and a third in north Wilmington, listed as “temporarily closed.”
Minus a buyout of those assets, the departure of the New Jersey-based company will leave a big hole in many strip centers here and elsewhere.
The Company’s 360 Bed Bath & Beyond and 120 buybuy BABY stores and websites will remain open for now as the company begins its efforts to close its retail locations. Buy buy Baby has a store in Christiana, a short distance from the Bed Bath and Beyond store.
Sue Gove, President & CEO of Bed Bath & Beyond Inc. said, “Millions of customers have trusted us through the most important milestones in their lives – from going to college to getting married, settling into a new home to having a baby. Our teams have worked with incredible purpose to support and strengthen our beloved banners, Bed Bath & Beyond and buybuy BABY. We deeply appreciate our associates, customers, partners, and the communities we serve, and we remain steadfastly determined to serve them throughout this process. We will continue working diligently to maximize value for the benefit of all stakeholders.”
Bed Bath and Beyond has struggled for years with a variety of problems, including failed retail strategies, online competition and the effects of the pandemic.
According to a release, the company has filed motions with the court seeking authority to market Bed Bath & Beyond and buybuy BABY as part of an auction pursuant to section 363 of the Bankruptcy Code. Alongside these efforts, the Company is also strategically managing inventory to preserve value. In the event of a successful sale, the company will pivot away from any store closings needed to implement a transaction. The company believes this dual-path process will best maximize value.
Additional information is available at https://restructuring.ra.kroll.com/bbby. Stakeholders with questions can contact the Company’s Claims Agent, Kroll LLC, at BBBYInfo@ra.kroll.com, (833) 570-5355, or (646) 440-4806 if calling from outside the U.S. or Canada.
The company has retained Hilco Merchant Resources LLC to assist with inventory sales.
