Bed Bath & Beyond has entered into a definitive agreement to sell its remaining non-core banner Cost Plus World Market (CPWM) to private equity firm Kingswood Capital Management.
The agreement includes 243 brick-and-mortar locations, the CPWM digital business, two distribution facilities and a corporate office located in Alameda, CA. CPWM is expected to continue to operate as a stand-alone retail brand.
The deal is anticipated to close prior to Bed Bath & Beyond's fiscal year end in February 2021, and is subject to customary closing conditions.
"We've taken deliberate steps throughout the year to streamline our portfolio and fortify our strategic focus in home, baby, and beauty and wellness, and today's announcement represents the conclusion of this work,” said Mark Tritton, Bed Bath & Beyond's president and CEO, in a statement. “In all, we have unlocked significant value from the divestiture of five business concepts this year, and we have also meaningfully reduced our lease liability and overall debt. These actions provide greater financial flexibility to support our digital first, omni-always transformation and our commitment to deliver sustainable total shareholder return."