Bed Bath & Beyond's baby products chain attracts buyer interest - WSJ

[April 23, 2022]  (Reuters) -Bed Bath & Beyond Inc is fielding interest from potential buyers for its Buybuy Baby business following activist pressure to sell the unit, the Wall Street Journal reported on Friday, citing people familiar with the matter.  

An exterior view shows a Bed Bath & Beyond store in Novi, Michigan, U.S., January 29, 2021. REUTERS/Emily Elconin

The suitors include private equity firm Cerberus Capital Management LP and Tailwind Acquisition Corp, a blank-check firm chaired by Casper Sleep Inc's former chief executive Philip Krim, the report said.

Bed Bath & Beyond, Cerberus Capital and Tailwind Acquisition did not immediately respond to Reuters requests for comment.

Shares of the company gained as much as 11% on the news before closing up 7% at $17.46.

The home goods retailer has been under pressure from activist investor and GameStop Chairman Ryan Cohen to explore strategic alternatives.

As part of a settlement with Cohen in March, Bed Bath & Beyond appointed three new directors to its board, two of them to the committee exploring options for the baby products chain.

(Reporting by Deborah Sophia in Bengaluru; Editing by Aditya Soni)

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