Bed bath in addition continues to sell non-core assets, this time with a definitive sale agreement Cost plus world market to the private equity firm Kingswood Capital Management.
The sales contract includes 243 brick-and-mortar locations, the brand’s digital business, two sales offices and corporate headquarters in Alameda, California. The deal indicated that Cost Plus World Market is likely to continue operating as a standalone retail brand.
“We have consciously taken steps throughout the year to streamline our portfolio and strengthen our strategic focus on home, baby, beauty and wellness. Today’s announcement marks the completion of that work,” said Mark Tritton, President and CEO of Bed Bath & Beyond in a statement. “Overall, by selling five Business concepts this year, and we have also significantly reduced our lease liability and total debt. These measures provide greater financial flexibility to support our digital first, ubiquitous transformation and our commitment to sustainable total shareholder return. ”
In addition, the company approved a new one $ 150 million accelerated share buyback program (ASR), which is in addition to the $ 225 million ASR was announced on October 28, 2020. Both ASR programs are expected to be completed no later than the end of the company’s fiscal year on February 27, 2021. The company has also expanded its entire share buyback program from to $ 675 million up to $ 825 million in the next three years by approving the new ASR program.