Bed Bath & Beyond acquires home décor site — probably for a steal

Bed Bath & Beyond made another move to boost its online offerings by acquiring a home furnishings and home décor flash-sales site.

The chain announced it has acquired One Kings Lane in an all-cash transaction. Bed Bath & Beyond did not disclose the purchase price, but said it was “not material” to its finances. It’s a bit of a comedown for the San Francisco-based One Kings Lane, which was founded in 2009. The online retailer once enjoyed a reputation as one of the industry’s hottest e-commerce start-ups, with a valuation of about $900 million just a couple of years ago. But flash-sales sites are no longer as popular as they once were and One Kings Lane, similar to many other e-commerce startups, failed to live up to its high-flying valuation. In December, the online retailer had a second round of job cuts amid slowing growth and cost-cutting pressures.

A reportin January 2016 fromRecodesaid that the company was looking to be sold for a quarter of that valuation.

“We have followed One Kings Lane and loved its site since its inception, and we are thrilled for the opportunity to provide them with additional support and exposure to promote and grow their brand," noted Steven H. Temares, CEO, Bed Bath & Beyond Inc. "At the same time, One Kings Lane will serve as a cornerstone for Bed Bath & Beyond's growing offerings in furniture and home décor, and together we will be able to do even more for and with our collective customers wherever, whenever and however they wish to interact with us, and to further our mission to be viewed as the expert for the home."