Bed Bath & Beyond said late Tuesday that it had acquired home furnishings seller One Kings Lane in a deal that pushes the big-box retailer further into the furniture and decorations category.
The Union, N.J.-based retailer did not disclose how much it paid for One Kings Lane, saying only that it was "not material" to the company's finances and would be only "slightly dilutive" to its net earnings.
The negligible price represents a steep fall for One Kings Lane, which was valued at nearly $1 billion in a 2014 funding round, according to several published estimates.
Co-founded by Alison Pincus, wife of Zynga founder Mark Pincus, One Kings Lane specialized in a curated online collection of furniture and home goods, with design studios in San Francisco and New York. It also provides "design inspiration and expert style advice," Bed Bath & Beyond said in a statement.
"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," Bed Bath & Beyond CEO Steven Temares said in a statement.
"At the same time, One Kings Lane will serve as a cornerstone for Bed Bath & Beyond's growing offerings in furniture and home decor, 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."
One Kings Lane CEO Dinesh Lathi said in a statement that the deal would allow the company "to continue to differentiate our product offerings and refine our point of view to further delight our current and future customers."
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