Shoppers walk in front of a Kohl's store in Mount Kisco, New York.
Scott Mlyn | CNBC
Kohl's said Tuesday that it is partnering with the owner of Babies R Us to bring baby supplies, furniture and more to about 200 of its stores nationwide.
The retailer reached an agreement with WHP Global, a brand management company with a portfolio that includes Bonobos, Joe's Jeans and Anne Klein. The two companies did not disclose the terms of the agreement.
In a news release, Kohl's said the first Babies R Us stores will open in August and will expand to more stores in the fall. Kohl's said the stores will be between 750 and 2,500 square feet and will add more brands and products to the Kohl's baby category. The retailer already offers baby clothing and items from brands such as Graco, Carter's and Fisher-Price.
With this move, Kohl's is adding another potential growth driver to its stores. It has been trying to reverse declining sales and attract more customers while being led by its new chief executive, Tom Kingsbury, former chief executive of discount chain Burlington Stores. Former Kohl's CEO Michelle Gass left the company at the end of 2022 to eventually take the top job at Levi Strauss after intense pressure from activists and a failed attempt to sell to Franchise Group, owner of The Vitamin Shoppe.
Kohl's shared the news while reporting holiday quarter earnings results.
WHP Global has a similar agreement with Macy'swhich has opened Toys R Us stores inside many of its stores.
As of Monday's close, Kohl's shares are down about 5% so far this year. This trails the S&P 500's gains of about 7% over the same period. Kohl's shares closed Monday at $27.19, bringing the company's market value to $3.01 billion.
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