The Gulf Time Newspaper One of the finest business newspapers in the UAE brought to you by our professional writers and editors.
Bloomberg
Bed Bath & Beyond Inc, the home-goods retailer mired in a lengthy sales slump, rose after selling some real estate in a deal that generated net proceeds of more than $250 million.
The properties represent about 2.1 million square feet of space, including retail stores, a distribution facility and offices, the company said. It is leasing back the space in the transaction with an affiliate of Oak Street Real Estate Capital. The properties are located in Texas, Florida, New Hampshire, California and New Jersey, among other states, and include the company’s headquarters in Union, New Jersey.
Bed Bath & Beyond has struggled against competition from online retailers, discount and big box stores. Last month, six senior executives left the company, part of a management shake-up by new Chief Executive Officer Mark Tritton as he works to turn the retailer around.
The company, which previously said it was reviewing its real estate portfolio, said the proceeds may be used for operations, to reduce its debt and to buy back shares.
Bed Bath & Beyond climbed as much as 5.3% in New York to $16.93. It gained 53% last year amid optimism that Tritton, a former Target Corp executive, will put the company on a stronger footing. The company’s shares had tumbled the previous five years.