From Home Furnishing Business
Mattress Firm to Buy 3 Retail Brands for $60 Million
The price of the deal is about $60 million.
The acquisition will give Mattress Firm ownership of the Back to Bed and Bedding Experts stores in Illinois, Indiana and Wisconsin, as well as the Bedding Experts and Mattress Barn stores in Florida.
The acquisition will allow the retailer to operate additional stores in existing markets and new markets.
The deal is expected to close by the end of the third fiscal quarter and will be funded by case reserves and revolving loans.
"We are excited to secure a presence in Chicago, a key strategic market for Mattress Firm, with a strong store base in full operation and to further enhance our position as a top player in the Florida markets," stated Steve Stagner, Mattress Firm president and CEO. "This acquisition of the Back to Bed and Bedding Experts stores in the Chicago area will allow us to immediately gain scale in that market. The Mattress Barn and Bedding Experts stores in Florida will augment our existing base of quality stores and further establish our recognizable presence in that region. As with prior acquisitions, this acquisition demonstrates our continued focus on the relative market share strategy, which continues to build long-term value creation for our shareholders."