Bed Bath & Beyond is acquiring The Brand House Collective, formerly Kirkland’s, in a completion of what has been a steady process of investments and operational alignments.
The association of Bed Bath & Beyond (formerly Beyond, Inc, and, before that, Overstock) and Brand House has evolved during the past year and a half through a series of transactions and collaborations, starting with Beyond’s $25 million investment in Kirkland’s in 2024. Now, based on the companies’ respective closing stock prices on November 21, the acquisition will occur at an equity value of $26.8 million, which includes Brand House stock already held by Bed Bath & Beyond and reflects an exchange ratio of 0.1993 shares of Bed Bath & Beyond common stock for each The Brand House Collective share.
In connection with the merger agreement, Bed Bath & Beyond has advanced $10 million under an existing delayed draw term loan facility with Brand House to fund store conversions, accelerate omnichannel inventory procurement and support operations. Under agreements made earlier, former Kirkland’s Home stores have been converting to the Bed Bath & Beyond Home nameplate.
Prior to and as a condition of the closing, the parties stated they have agreed to use commercially reasonable efforts to amend or refinance the Brand House existing credit facility with Bank of America. They expect the transaction to close in the first quarter of 2026, subject to Brand House shareholder approval, including the affirmative vote from disinterested shareholders, and other customary closing conditions including lender consent from Bank of America. Bed Bath & Beyond presently holds 40% of Brand House’s outstanding shares and under the merger agreement will vote to approve the proposed transaction.
Upon the merger closing, Amy Sullivan will serve as CEO of the newly organized Beyond Retail Group division of Bed Bath & Beyond, overseeing all omnichannel retail operations including merchandising, stores, digital commerce and customer experience across the parent company’s brands. The brands include Bed Bath & Beyond, buybuy BABY, Overstock and Kirkland’s Home.
As the merger takes effect, Bed Bath & Beyond will close more than 40 underperforming or non-strategic Brand House (Kirkland’s) stores in early 2026. The closures, according to the company, will support Bed Bath & Beyond bottom-line improvement and inventory optimization efforts as an element of a broader efficiency strategy. The combined company anticipates unlocking at least $20 million in cost elimination benefits from the merger as it moves to create a more profitable platform and reinvests in growth initiatives, including high-conversion store formats, digital and omnichannel enhancements, advanced data-driven customer acquisition, and merchandising innovation.
“This acquisition is a big step in building a profitable, growth oriented everything home company,” said Marcus Lemonis, Bed Bath & Beyond executive chairman. “The power of this deal comes from a more efficient and productive engagement with the consumer, while extracting over $20 million in duplicate costs. The most valuable asset of this transaction is the talent and leadership that comes with it, giving our historical marketplace business a stronger product and consumer experience focus. Amy has played a central role in leading our strategic partnership over the past year. She is the right leader for this division because she understands the customer and will execute on my standard for customer focus, brand consistency, merchandising excellence and operational rigor across the organization.”
