Bed Bath & Beyond is going out of business. 

On April 23, the Union-based retailer, which has attempted for months to turn around its struggling business, released a statement saying it filed for Chapter 11 in the U.S. Bankruptcy Court for the District of New Jersey “to implement an orderly wind down of its businesses while conducting a limited marketing process to solicit interest in one or more sales of some or all of its assets.” (See below for a timeline of events leading up the filing.)

In the announcement, the company said it received approximately $240 million in debtor-in-possession financing from Sixth Street Specialty Lending Inc., which, following court approval, will be used to support liquidation during the Chapter 11 process. 

The retailer’s 360 banner Bed Bath & Beyond stores and 120 Buybuy BABY stores and websites will remain open for now, but Bed Bath & Beyond said it will begin closing the locations. According to a report on CNN, that process will start April 26. 

The company also said it intends to uphold commitments to customers, employees and partners through the liquidation, including continuing to pay employee wages and benefits.

On its consumer-facing website, the company issued a notice, saying, “Thank you to all of our loyal customers. We have made the difficult decision to begin winding down our operations.”

Also on Sunday, the retailer sent an email to consumers with an update on its programs and policies, including:

• Returns and exchanges will be processed through May 24, 2023, for items purchased before April 23, 2023;
• Gift cards and certificates will be accepted through May 8, 2023;
• Bed Bath & Beyond will no longer accept coupons or Welcome Rewards beginning April 26, 2023.
• The retailer expects all in-stock orders placed online to be fulfilled “at this time.”
• Additionally, consumers’ registry data “is safe.” The company expects to partner with another platform to transfer data, and consumers will receive further information.

“Millions of customers have trusted us through the most important milestones in their lives – from going to college to getting married, settling into a new home to having a baby. Our teams have worked with incredible purpose to support and strengthen our beloved banners, Bed Bath & Beyond and buybuy BABY,” Bed Bath & Beyond President and CEO Sue Gove said in a statement. “We deeply appreciate our associates, customers, partners, and the communities we serve, and we remain steadfastly determined to serve them throughout this process. We will continue working diligently to maximize value for the benefit of all stakeholders.” 

Bed Bath & Beyond also said it has filed motions with the court seeking authority to market Bed Bath & Beyond and Buybuy BABY as part of an auction pursuant to section 363 of the Bankruptcy Code.  

“In the event of a successful sale, the Company will pivot away from any store closings needed to implement a transaction,” the retailer added. 

Kirkland & Ellis LLP and Cole Schotz P.C. are serving as legal counsel, Lazard Frères & Co. LLC is serving as investment banker, and AlixPartners LLP is serving as financial advisor. Bed Bath & Beyond Inc. has retained Hilco Merchant Resources LLC to assist with inventory sales. 

How did Bed Bath & Beyond get here?

Take a look a back at some of the major developments from Bed Bath & Beyond in the past year, beginning in spring 2022. Click on any headline to read more.

March 6, 2022: Activist investor and Gamestop chair urges Bed Bath to focus strategy

Activist investor Ryan Cohen penned a letter to the board of Union-based retailer Bed Bath & Beyond urging the company to narrow the focus of its strategic turnaround and to explore a separation of retailer Buybuy BABY, or a sale of the whole company.

March 25, 2022: Activist investor pushes Bed Bath to add 3 to board, consider Buybuy BABY sale

Bed Bath & Beyond Inc. entered into a cooperation agreement with activist investor Ryan Cohen and his company RC Ventures LLC, honoring Cohen’s request to evaluate how the company can better perform for shareholders following a letter he penned to Bed Bath’s board of directors earlier in March.

June 29, 2022: Tritton out at Bed Bath; interim CEO named

Bed Bath & Beyond Inc. announced “significant changes” to its executive team, including naming Sue Gove — then an independent director on the company’s board of directors and strategy committee chair — as interim chief executive officer.

June 30, 2022: Bed Bath makes two exec moves one day after CEO shakeup

Bed Bath & Beyond Inc. named Laura Crossen as senior vice president of finance and chief accounting officer, and Susie Kim as senior vice president of treasury and investor relations, effective immediately.

Aug. 31, 2022: Bed Bath & Beyond announces layoffs, store closures, leadership changes

In a strategic update, Bed Bath & Beyond shared plans to improve company performance, including staff reductions, additional executive changes and store closures.

Sept. 4, 2022: Bed Bath & Beyond CFO Arnal dies in NY

Bed Bath & Beyond announced Chief Financial Officer Gustavo Arnal died two days earlier, calling the passing a “shocking loss.”

Sept. 6, 2022: Following CFO’s death, Bed Bath & Beyond names interim executive

Following the Sept. 2 death of Chief Financial Officer Gustavo Arnal, Bed Bath & Beyond named Laura Crossen, currently senior vice president of finance and chief accounting officer, to serve in the interim position, effective Sept. 5.

Sept. 16, 2022: Bed Bath & Beyond to close 3 stores in NJ

Bed Bath & Beyond released the first list of stores that will shutter as part of its previously announced plan to close 150 locations.

Oct. 26, 2022: Bed Bath & Beyond names permanent CEO

Having served as Bed Bath & Beyond’s interim CEO since June, Sue Gove is named to take on the permanent role.

Oct. 27, 2022: Bed Bath & Beyond to close Princeton buybuy Baby store

Bed Bath & Beyond said it will close its Princeton Buybuy Baby store “in the coming months,” a company representative confirmed to NJBIZ.

Nov. 9, 2022: Bed Bath & Beyond enters private exchange agreement for senior notes

In another effort to improve its financial standing, Bed Bath & Beyond announced it entered a privately negotiated exchange agreement with an existing holder of its senior notes in exchange for shares of common stock.

Jan. 5, 2023: Bed Bath & Beyond gives dire warning

The Union-based home goods giant said it is running out of money and may consider filing for bankruptcy protection.

Jan. 11, 2023: Bed Bath & Beyond closing 62 more stores, including 4 in NJ

Bed Bath & Beyond plans to shutter dozens of more stores. The latest round includes two Harmon stores and two Buybuy Baby stores in New Jersey.

Jan. 16, 2023: Bed Bath & Beyond’s continued struggles raise doubts about its future [Analysis]

Following poor sales and inventory outages, as well as an inability to compete with big box stores and online retailers, the cash-strapped, Union-based company cautioned that it may need to file for bankruptcy protection.

Jan. 20, 2023: Bed Bath & Beyond receives delisting notice from Nasdaq

After failing to file its results for the Third Quarter of Fiscal Year 2022 with the U.S. Securities & Exchange Commission (SEC), the struggling home goods retailer was notified by Nasdaq Stock Market that it is not in compliance for continued listing on the world’s second-largest stock exchange.

Jan. 27, 2023: Bed Bath & Beyond a step closer to bankruptcy

In a Jan. 26 filing with the U.S. Securities and Exchange Commission (SEC), the struggling Union-based retailer said it received a notice of acceleration and default interest on Jan. 25 from JPMorgan Chase Bank and that “at this time, the Company does not have sufficient resources to repay the amounts under the Credit Facilities and this will lead the Company to consider all strategic alternatives, including restructuring its debt under the U.S. Bankruptcy Code.”

Jan. 30, 2023: Bed Bath & Beyond’s latest round of closings includes every Harmon store

As part of an effort to stay afloat financially, cash-strapped Bed Bath & Beyond is closing even more stores, including its entire chain of Harmon locations.

Feb. 6, 2023: Bed Bath & Beyond hopes to avoid near-term bankruptcy by selling stock

Bed Bath & Beyond announced plans for a public offering, a move that the embattled home goods retailer hopes will enable it to pay off debt and avoid near-term bankruptcy.

Feb. 7, 2023: Half its size: Bed Bath & Beyond continues to shrink store footprint

The struggling home goods retailer plans to close 150 more stores, on top of 250 previously announced closures.

Feb. 10, 2023: Bed Bath & Beyond to shutter all stores in Canada

Despite raising $1 billion to stave off bankruptcy, Bed Bath & Beyond announced it will begin shutting down operations in Canada, saying there is not enough capital available to save both its U.S. business and its subsidiary.

Feb. 21, 2023: Bed Bath & Beyond CEO says company working to reset ‘financial foundation’

After securing a last-minute equity deal to help avoid near-term bankruptcy, Bed Bath & Beyond said it is focused on improving its financial footing.

March 1, 2023: Bed Bath & Beyond makes past-due interest payment to bondholders

After missing an interest payment that was due to bondholders a month ago, home goods retailer Bed Bath & Beyond has made good on what it owes.

March 8, 2023: Bed Bath & Beyond receives another $135M from rescue package

Bed Bath & Beyond received another $135 million as part of a financing package aimed at helping the retailer pursue a turnaround without a bankruptcy filing.

March 14, 2023: Bed Bath & Beyond seeks to raise another $100M

Bed Bath & Beyond is looking to raise an additional $100 million in equity to further support the cash-strapped retailer’s efforts to rebuild its business.

March 20, 2023: Bed Bath & Beyond seeks shareholder approval for reverse stock split

Bed Bath & Beyond is seeking shareholder approval for a reverse stock split as a way to bolster the embattled home goods retailer’s share price.

March 27, 2023: Bed Bath & Beyond to eliminate nearly 1,300 jobs in NJ

Bed Bath & Beyond plans to cut the jobs at four locations in its home state of New Jersey as part of the retailer’s efforts to rebuild its business.

March 30, 2023: Bed Bath & Beyond says it will file for bankruptcy if $300M stock offering doesn’t succeed

In a regulatory filing, the Union-based company said it is putting up for sale $300 million worth of shares in an “at-the-market” offering program and will use the capital for strategic initiatives in Fiscal Year 2023, such as investing in merchandise inventory, increasing store footprint and realigning cost structure.

March 31, 2023: Ousted Bed Bath & Beyond CEO Tritton sues over unpaid severance

Former Chief Executive Officer Mark Tritton reportedly sued the Union-based home goods retailer, claiming the company has failed to honor his $6.765 million severance agreement.

April 5, 2023: Bed Bath & Beyond calls special shareholder meeting to approve reverse stock split

In a filing with the U.S. Securities & Exchange Commission (SEC), the home goods retailer said it plans to hold a special meeting May 9 to determine the split at a ratio in the range of 1-for-10 to 1-for-20, with the final makeup to be decided by the board.

April 6, 2023: Bed Bath & Beyond to re-stock shelves with $120M vendor consignment program

Under the agreement announced April 5, ReStore Capital – a credit-focused investment manager owned by Hilco Global – will buy up to $120 million of merchandise from the company’s key suppliers to supplement inventory levels already sold at Bed Bath & Beyond and BuyBuy Baby.

April 19, 2023: Bed Bath & Beyond’s bankruptcy filing reportedly days away

Citing sources familiar with the Union-based home goods retailer’s plans, Bloomberg and The Wall Street Journal reported April 19 that talks are underway with advisors and lenders ahead of such a filing.

Editor’s note: This story was updated at 11:05 a.m. ET April 23, 2023, to include information sent to consumers about policies and programs.