Neighborhood Intelligence — formerly Bed Bath & Beyond Inc. — will no longer acquire F9 Brands. The deal would have added Cabinets To Go and Lumber Liquidators, among other home-focused companies, to the Neighborhood Intelligence portfolio.
The $150 million deal was canceled after Neighborhood Intelligence determined “F9 was unable to satisfy all closing requirements within the contemplated timeframe,” according to a Tuesday press release.
“We evaluate opportunities continuously, and this is one of many transactions we have considered that we elected not to pursue,” Marcus Lemonis, executive chairman of Neighborhood Intelligence, said in a statement. “In this case, we determined the seller was unable to satisfy the closing conditions, which are essential to our confidence in any business we acquire. … We remain focused on the strength of the Home Services platform, anchored by Elfa, Closet Works and SFV Construction Services, and on pursuing opportunities that meet our strategic, financial, and operational standards.”
Neighborhood Intelligence — whose portfolio contains Bed Bath & Beyond, Overstock, BuyBuy Baby, Kirkland’s, The Container Store, Elfa and Closet Works — intends to expand on Elfa’s home solutions platform, per the release.
F9 Brands President and CEO Jason Delves was supposed to serve as chief executive officer of “Beyond Home Services” business area, per an announcement about the proposed deal in April.
As part of its broader efforts to transcend retail, Neighborhood Intelligence has been on an acquisition spree this year, with its deals also including the proposed purchase of real estate platform Fathom Holdings. Neighborhood Intelligence did not immediately respond to Retail Dive’s inquiry on the status of the proposed Fathom deal.
