- Bed Bath & Beyond is acquiring The Brand House Collective (formerly Kirkland's), consolidating brands and supply-chain capabilities to strengthen omnichannel operations.
- The merger will trigger over 40 store closures in early 2026, aiming for $20 million in savings but risking local job losses and community impact.
It’s been a whirlwind year for Bed Bath & Beyond, the home goods giant that’s spent the last couple of years clawing its way back from bankruptcy’s brink.
Just last week, on November 25, the company dropped a bombshell: it’s acquiring The Brand House Collective—formerly known as Kirkland’s—for an equity value of about $26.8 million.
This move isn’t just another line item on the balance sheet; it’s the culmination of a year-long tango between two retailers desperate to carve out space in a cutthroat home furnishings market.
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But here’s the kicker—it’s also paving the way for the shuttering of over 40 stores early next year.
Let’s unpack what this means for shoppers, employees, and the broader retail landscape.
A Partnership That’s Been Building for Months
To understand the deal, you have to rewind to October 2024. That’s when Bed Bath & Beyond Inc.—the umbrella under which brands like Bed Bath & Beyond, BuyBuy Baby, and Overstock now operate—handed Kirkland’s the keys to launch five small-format “neighborhood” stores under the Bed Bath & Beyond banner.
It was a low-risk test run for both sides, blending Kirkland’s knack for affordable, trendy decor with Bed Bath’s established name.
Fast forward to August 2025, and the first fruits of that collaboration bloomed with a shiny new Bed Bath & Beyond Home store in Nashville, Tennessee.
The vibe? Cozy, accessible home essentials that feel more like a neighborhood spot than a big-box behemoth.
But the real momentum kicked in this fall.
In September, Bed Bath & Beyond shelled out $10 million to snap up Kirkland’s Home trade name and brand assets—double the original $5 million price tag they’d floated earlier.
That purchase wasn’t just about owning the IP; it opened doors for Kirkland’s to dip into wholesale for the first time, with Bed Bath earning a cut of the revenue through existing pacts.
Around the same time, Kirkland’s (rechristened The Brand House Collective by late July) announced it would overhaul its entire footprint, converting all its stores into Bed Bath & Beyond outposts over the next two years.
It’s like watching two puzzle pieces snap together, but with a lot more supply chain headaches and inventory shuffling.Enter the latest chapter: this full-blown acquisition.
Bed Bath already owns roughly 40% of The Brand House Collective’s shares, so they’re not starting from scratch.
To sweeten the pot and keep things humming in the interim, Bed Bath advanced $10 million via a delayed draw loan back in July.
That cash is fueling store conversions, ramping up omnichannel inventory buys, and propping up day-to-day ops.
The merger, if all goes to plan, wraps up in the first quarter of 2026—pending nods from shareholders and Bank of America, the lead lender.
Once it’s done, expect a leaner operation: the combined entity is targeting $20 million in savings by axing duplicate roles, streamlining clunky systems, and ironing out operational overlaps.
The Human Side: Store Closures and Cost-Cutting Realities
No retail merger comes without fallout, and this one’s no exception.
Over 40 stores—likely a mix of lingering Kirkland’s holdouts and underperforming Bed Bath locations—are slated to close in early 2026.
It’s a tough pill for communities that relied on these spots for everything from throw pillows to crib bedding.
While specifics on which stores are on the chopping block haven’t trickled out yet, the ripple effects could hit hard in mid-sized markets where these chains have deep roots.
On the flip side, the deal positions the new Bed Bath & Beyond as a more agile player.
The Brand House Collective isn’t just a store operator; it’s a merchandising and supply chain wizard that’s already handling Bed Bath’s brand portfolio and running the Bed Bath & Beyond Home website.
Folding it in could supercharge everything from online ordering to in-store stocking, especially as Bed Bath ramps up its nationwide franchise program announced back in October.
Imagine more of those Nashville-style pop-ups sprouting up, tailored to local tastes without the overhead of full mega-stores.
Why Now? Retail’s Relentless Squeeze
This acquisition lands at a pivotal moment for home goods retail.
Inflation’s cooled a bit, but consumers are still picky—favoring value-driven buys over splurges.
Bed Bath & Beyond, reborn from its 2023 bankruptcy ashes, has leaned hard into digital and franchising to stay relevant.
Snagging The Brand House Collective locks in that supply chain muscle while trimming fat, a classic playbook move in an industry littered with consolidation tales (think Macy’s shedding brands or Walmart gobbling up e-commerce upstarts).
For employees, it’s a mixed bag.
The promised efficiencies might preserve jobs in core areas like merchandising and logistics, but those store closures will displace workers. Broader context?
The home sector’s been a bright spot post-pandemic, with folks nesting more than ever, but chains like Kirkland’s have struggled with foot traffic dips and online competition.
This merger could be the lifeline that turns “survival mode” into “growth mode.”
As 2025 winds down, all eyes are on how this plays out. Will it deliver the seamless omnichannel experience Bed Bath’s chasing?
Or will integration snags echo past retail fumbles?
One thing’s clear: in the dog-eat-dog world of home retail, mergers like this aren’t luxuries—they’re lifelines.
Stay tuned for updates as the Q1 close date nears.
Also Read: Famous Coffee Chain Now Closing Several Stores Across America
