Bed Bath & Beyond announced in November that it had entered into a merger agreement to acquire The Brand House Collective, formerly Kirkland’s Inc.
The merger means that some Kirkland’s stores will become Bed Bath & Beyond, though The Brand House Collective has said it plans to close a select number of locations. The merger agreement was announced on Nov. 24, and the deal was valued at $26.8 million, The Brand House Collective said in a news release.
“This acquisition is a big step in building a profitable, growth-oriented Everything Home company. The power of this deal comes from a more efficient and productive engagement with the consumer, while extracting over $20 million in duplicate costs,” said Marcus Lemonis, the executive chairman of Bed Bath & Beyond, in a statement.
Early conversions of Bed Bath & Beyond stores have resulted in double-digit sales growth after reopening, according to The Brand House Collective.
Bed Bath & Beyond opened its first store in Nashville on Aug. 8 since filing for bankruptcy in 2023, USA TODAY previously reported. The new store’s name is Bed Bath & Beyond Home.
Almost all of Kirkland’s former stores will reopen as Bed Bath & Beyond locations, The Brand House Collective announced in September. Bed Bath & Beyond acquired Kirkland’s intellectual property for $10 million. Bed Bath & Beyond said the move would allow for more store conversions.
About 250 Kirkland’s Home stores are planned to be converted into Bed Bath & Beyond locations as a result of the merger, USA TODAY previously reported. Lemonis said in August that the company would not open any stores in California, and the state would be served solely through delivery. In February 2022, the company operated just under 90 stores across the state, Forbes reported.
Lemonis said in August that the decision wasn’t “about politics — it’s about reality,” adding, “California has created one of the most overregulated, expensive, and risky environments for businesses in America. It’s a system that makes it harder to employ people, harder to keep doors open, and harder to deliver value to customers.”
Speaking to Fox Business in August, Lemonis said the company does have plans to open 300 stores over the next 24 months.
Bed Bath & Beyond filed for bankruptcy in 2023 and closed all of its physical stores. The retailer is now attempting to make a comeback with the planned reopenings. However, more than 40 underperforming or non-strategic Kirkland’s stores have been identified for closure in early 2026, The Brand Collective said in its Nov. 24 release.
According to the company, the Kirkland’s store closures are intended to support bottom-line improvement and inventory optimization. The merger is expected to save the company $20 million by trimming duplicated functions, overlapping systems and operational inefficiencies, The Brand House Collective said.
“This cost-reduction plan is a core component of creating a more profitable platform and will allow the company to reinvest in growth initiatives, including high-conversion store formats, digital and omni-channel enhancements, advanced data-driven customer acquisition, and merchandising innovation,” the company said.
The acquisition is expected to be finalized in the first quarter of 2026, according to The Brand Collective’s Nov. 24 release. Since Oct. 4, Bed Bath & Beyond has opened stores across Tennessee, including in Hendersonville, Murfreesboro, Juliet and Nashville.
Around 1 p.m. ET on Wednesday, Dec. 3, Bed Bath & Beyond’s stock traded up about 9%. It’s currently up 16% year to date. Meanwhile, the Brand House Collective’s stock was up around 2% at the same time. It’s down 26% year to date.
Michelle Del Rey is a trending news reporter at USA TODAY. Reach her at mdelrey@usatoday.com