05:59 PM EDT, 10/15/2024 (MT Newswires) -- Container Store Group ( TCS ) said late Tuesday that Beyond (BYON) agreed to invest $40 million in the company.

The companies expect the partnership to position Container Store ( TCS ) to return to profitable comparable store growth by utilizing Beyond's "intellectual property, customer data, network of brands, and affiliate relationships."

Container Store ( TCS ) stock jumped 36% in after-hours activity.

The terms and conditions of the preferred equity transaction between the two companies include an amendment of the Container Store's ( TCS ) credit facilities in a "manner commercially acceptable to Beyond."

As part of the deal, Container Store ( TCS ) will issue about 40,000 newly created series B preferred shares to Beyond.

The preferred stock would convert to common stock at $17.25, after certain conditions, resulting in Beyond owning about 40% of the Container Store's ( TCS ) common equity.

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