Online retailer Overstock rebranding as Bed Bath & Beyond By Reuters

© Reuters. FILE PHOTO: Signage is seen at a Mattress Tub & Past retailer in Manhattan, New York Metropolis, U.S., June 29, 2022. REUTERS/Andrew Kelly/File Picture

By Dietrich Knauth

NEW YORK (Reuters) -Overstock.com intends to sundown its firm title and rebrand as Mattress Tub & Past (OTC:) after buying that firm’s mental property belongings in chapter, Overstock CEO Jonathan Johnson stated on Thursday.

Overstock, which selected to not bid on any of Mattress Tub & Past’s retail areas or stock, will stay an online-only house items retailer, combining Overstock’s strengths with a better-known and stronger model title, Johnson stated in an interview.

“A chance arose in chapter to get the items that we liked and never have them burdened by the issues we did not like,” Johnson stated. “We have lengthy appreciated the Mattress Tub and Past title, however we did not just like the shops, the stock, so do not count on shops from us.”

Overstock’s “generic” title has held the corporate again, and it does not likely mirror the corporate’s present concentrate on promoting house items and furnishings on-line, Johnson stated.

Earlier than the Mattress Tub & Past chapter, Overstock thought {that a} rebrand would take years and doubtlessly a whole bunch of hundreds of thousands of {dollars}, in response to Johnson. As an alternative, Overstock firm was capable of purchase Mattress Tub & Past’s title and buyer information for $21.5 million at a chapter public sale.

The brand new title will assist the corporate entice loyal Mattress Tub & Past clients in addition to new suppliers who had been hesitant to promote their merchandise on an internet site related to the “taint” of liquidation, Johnson stated.

Overstock already has a brand new Mattress Tub & Past web site in Canada, and it plans to go reside with a U.S. web site in August.

The brand new Mattress Tub & Past, along with being online-only, could also be much less reliant on coupons than clients are used to, Johnson stated.

“Our base pricing is healthier than what clients have skilled at Mattress Tub & Past,” Johnson stated. “Whereas they’re going to be capable to add a coupon on high of it, I do not suppose they’re going to must depend on the usual Mattress Tub & Past “20% off” coupon that was nearly ubiquitous.”

As soon as a storied retailer, Mattress Tub & Past filed for Chapter 11 chapter safety in April after struggling for years with dwindling gross sales and a failed merchandising technique.

A U.S. chapter decide authorized Overstock.com (NASDAQ:)’s buy of Mattress Tub & Past’s mental property on June 27.

Individually, Dream on Me Industries, a New Jersey-based child merchandise retailer, has tentatively gained an public sale for the mental property of Mattress Tub & Past’s Purchase Purchase Child chain, courtroom filings confirmed on Thursday.

Dream on Me, which sells strollers, cribs and different child items by means of a bunch of retail companions, gained the rights to belongings reminiscent of Purchase Purchase Child’s trademark and area after an public sale on Wednesday, in response to the filings. The filings didn’t disclose the worth of the successful bid.