- Bed Bath & Beyond Inc. recently announced it is selling its PersonalizationMall.com business for $252 million to 1-800-Flowers.com. These are the details.
Bed Bath & Beyond Inc. recently announced it is selling its PersonalizationMall.com business for $252 million to 1-800-Flowers.com in order to focus on its primary retail business. PersonalizationMall is going to continue to provide products and services to Bed Bath & Beyond and its Buybuy Baby unit once the deal closes — which is expected in its fiscal 2020 first quarter.
Bed Bath & Beyond is aggressively looking into ways to reverse the slowdown in sales as it feels the pressure from e-commerce players, discount stores, and big box retailers. Last year, Bed Bath & Beyond hired Mark Tritton from Target to serve as the chief executive officer in order to turn the company around.
On February 11, Bed Bath & Beyond reported a decline in holiday sales and a reduction in gross margins. Tritton said that the deal with 1-800-Flowers.com would help quicken the transformation at the company. And Tritton pointed out that selling the business is a major step towards “simplifying our portfolio and deepening our focus on our core Home, Baby and Beauty businesses.”
Bed Bath & Beyond also recently announced its capital-allocation plans for fiscal 2020 — which includes an estimated $1 billion that will be used to return capital to shareholders, reduce debt, and reinvest in operations. Plus Bed Bath & Beyond said it will continue to optimizing its portfolio of retail concepts and owned real estate.
