Baby retailer ‘Dream on Me’ wins intellectual property auction
“Store Closing” signs at a Buy Buy Baby store in the Brooklyn borough of New York, on Monday, February 6, 2023.
Stephanie Keith | Bloomberg | Getty Images
A little-known baby dealer based in Piscataway, New Jersey, has won the auction for provisional’s intellectual property Bed Bath & Beyond’s Crown jewel Buy Buy Baby, according to court documents filed Thursday.
According to the filings, Dream on Me Industries, which sells cribs, strollers and other baby items through a variety of retail partners, won the rights to assets including the Buy Buy Baby brand and domain after an auction Wednesday. The price of the winning bid was not disclosed.
Wednesday’s auction was all about Buy Buy Baby’s intellectual property after parent company Bed Bath & Beyond decided to split up the sales process, apparently to achieve a higher bid price. According to the documents, another auction for all of Buy Buy Baby’s assets, including its many stores, is scheduled to take place on July 7th.
Dream on Me’s victory is only temporary. Should Bed Bath & Beyond receive a higher bid at the upcoming auction, the company could lose the rights to Buy Buy Baby’s intellectual property.
Everyday Health Media, a digital media company that produces health and wellness content, was selected as the alternate bidder.
Since declaring bankruptcy in late April, Bed Bath & Beyond has been determined to sell its assets at the highest possible price. The company has repeatedly postponed several auctions to attract buyers.
Interest has focused on Buy Buy Baby, which has long been considered the most valuable part of Bed Bath & Beyond’s business. But the sales process is becoming more and more uncertain as doubts about the number and size of the bids grew in the days leading up to the auction, CNBC previously reported.
The company has already moved its eponymous banner to Overstock.com for $21.5 million. The e-commerce retailer, which plans to change its website name to Bed Bath & Beyond, has opted not to acquire Bed Bath’s stores and inventory.