FLORENCE – Bed Bath & Beyond Inc. has agreed to sell a distribution center here as part of a plan to raise money through the sale of assets.
The troubled retailer on Wednesday also announced separate deals to shed its chain of Christmas Tree Shops and an institutional linen business.
The value of each transaction was not disclosed, but BB&B said it expects to generate about $250 million through the transactions.
The sales are intended to bolster the struggling firm’s finances and build shareholder value, said the Union-based company.
BB&B earlier this month reported a first-half net loss of $509.8 million for the six months ended Aug. 29. That compared to an $84.3 million deficit in the same period of 2019.
It said first-half net sales fell to $4 billion from $5.29 billion a year earlier.
BB&B said it’s selling the Florence plant to “an institutional buyer” as part of an ongoing effort “streamline and modernize” its distribution network.
BB&B said it’s signed a lease agreement for an unspecified buyer “to continue operations and provide business continuity during a transition period.”
Bed Bath & Beyond said it plans to sell Christmas Tree Shops, an 80-store chain, and a Massachusetts distribution center to Handil Holdings LLC.
B&B also expects to sell Linen Holdings, a unit that supplies the hospitality and healthcare industries, to an affiliate of Lion Equity Partners.
The sale of the distribution center and the linen business are expected to close this month.
The sale of Christmas Tree Shops is expected to close in November.
Jim Walsh is a free-range reporter who’s been roaming around South Jersey for decades. His interests include crime, the courts, economic development and being first with breaking news. Reach him at [email protected] or look for him in traffic.
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This article originally appeared on Cherry Hill Courier-Post: Bed Bath & Beyond to sell Florence facility, Christmas Tree Shops