Overstock did not bail out Bath and Bodyworks as it bidded for nearly $21.5M

June 14, 2023: Bed Bath & Beyond’s brand name may be the most significant part of the failed retailer that lives on.

On Tuesday, according to court papers filed, the home goods chain, which owns Buy Baby stocks, received a $21.5 million offer from online retailer Overstock.com for some of its assets, including its intellectual property.

Overstock.com’s stalking horse offer, which will set the floor for the expected bankruptcy-run auction, also includes the business internet, mobile properties, and all company data. The offer doesn’t include Bed Bath & Beyond or Buy Buy Baby’s store locations conducting going-out-of-business sales.

Competing offers are due by Friday. Bed Bath said in a statement it is still soliciting other offers. The auction is anticipated to take place on June 21.

The sale process had been extended recently as discussions had continued with prospective stalking horse bidders.

In recent weeks discussions have centered around the assets for Buy Buy Baby, often regarded as the crown jewel of the Bed Bath & Beyond portfolio. The Buy Buy Baby assets, in particular, had attracted interested bidders.

It’s long been assumed that Bed Bath & Beyond’s stores wouldn’t attract interest, although it was previously reported that bidders were interested in its digital assets.

Bed Bath & Beyond had sought Chapter 11 protection in April, following months of multiple fallen turnaround efforts and bankruptcy warnings.

The retailer had 360 namesake stores and 120 Buy Buy Baby locations open when it filed for insolvency. It had yet committed to closing all of its Harmon FaceValue stores.