Cumulative Proceeds of $360 Million To Date
UNION,
N.J., March 8, 2023 /PRNewswire/ -- Bed Bath
& Beyond Inc. (Nasdaq: BBBY) today announced the receipt of
approximately $135 million in gross
proceeds, for a cumulative total of $360
million through March
7th, 2023, upon exercise of preferred stock
warrants issued in its previously announced public equity
offering. As a reminder, on February
7, 2023, the Company completed an underwritten public
offering which raised initial gross proceeds of $225 million and enabled the Company to receive
up to an additional $800 million. The
Company has used proceeds received to date to repay outstanding
revolving loans, creating additional liquidity opportunities to
support business operating activities.
Sue Gove, President & CEO of
Bed Bath & Beyond Inc. said, "Over the past month, we have been
rebuilding our financial and operational positioning to execute our
customer-focused turnaround plans. Since closing our equity
financing last month, we have engaged with suppliers to improve our
inventory positioning and we have continued to optimize our
brick-and-mortar footprint through store closures to align with
customer preference. Additionally, as announced last week, we
paid the outstanding interest due on all Senior Notes, which has
been acknowledged by key constituents such as credit
agencies. We continue to work with determination and
diligence to fulfill both our near- and long-term goals of
maximizing prospects for all stakeholders."
In connection with the foregoing, the Company entered into a
waiver and amendment to its Credit Agreement.
About the Company
Bed Bath & Beyond Inc. and subsidiaries (the "Company") is
an omnichannel retailer that makes it easy for our customers to
feel at home. The Company sells a wide assortment of merchandise
primarily in the Home and Baby markets. Additionally, the Company
is a partner in a joint venture which operates retail stores in
Mexico under the name Bed Bath
& Beyond.
The Company operates websites at bedbathandbeyond.com and
buybuybaby.com.
Forward-Looking Statements
This press release contains a number of forward-looking
statements. Words such as "expect," "will," "working," "plan" and
variations of such words and similar future or conditional
expressions are intended to identify forward-looking statements.
These forward-looking statements include, but are not limited to,
statements regarding the Company's ability to use current and
future financing sources, including receipt of the full amount of
gross proceeds from the Company's previously announced financing
transactions, and the anticipated use of proceeds therefrom as well
as the Company's ability to comply with its obligations under its
credit agreement and successfully execute its turnaround plans.
These forward-looking statements are not guarantees of future
results and are subject to a number of risks and uncertainties,
many of which are difficult to predict and beyond the Company's
control. Important factors that may cause actual results to differ
materially from those in the forward-looking statements include,
but are not limited to, the uncertainties related to market
conditions and the receipt of the full amount of gross proceeds
from such financing transactions on the anticipated terms or at
all, the Company's ability to use proceeds from such financing
transactions to pay down outstanding debt obligations and operate
its business; risks related to the failure to receive the full
amount of gross proceeds from such financing transactions, which
the Company expects will likely force it to file for bankruptcy
protection; the Company's ability to regain and maintain access to
its credit agreement; the Company's ability to deliver and execute
on its turnaround plans; the Company's potential need to seek
additional strategic alternatives, including restructuring or
refinancing of its debt, seeking additional debt or equity capital,
reducing or delaying its business activities and strategic
initiatives, or selling assets, other strategic transactions and/or
other measures, including obtaining relief under the U.S.
Bankruptcy Code, and the terms, value and timing of any transaction
resulting from that process; the Company's ability to finalize or
fully execute actions and steps that would be probable of
mitigating the existence of "substantial doubt" regarding the
Company's ability to continue as a going concern; and the Company's
ability to increase cash flow to support the Company's operating
activities and fund its obligations and working capital needs, and
the other risk factors described in the Company's filings with the
SEC, including the factors set forth under the section entitled
"Risk Factors" in the Company's Annual Report on Form 10-K for the
year ended February 26, 2022, the
Company's Quarterly Report on Form 10-Q for the quarter ended
August 27, 2022, the Company's
Quarterly Report on Form 10-Q for the quarter ended November 26, 2022, Exhibit 99.3 to the Company's
Current Report on Form 8-K filed on February
6, 2023 and the Company's Current Report on Form 8-K filed
on February 7, 2023. The Company
disclaims and does not undertake any obligation to update or revise
any forward-looking statement in this press release, except as
required by applicable law or regulation.
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SOURCE Bed Bath & Beyond
