INTANGIBLE ASSETS, NET

9 Months Ended

Sep. 30, 2023

Intangible Assets, Net (Excluding Goodwill) [Abstract]

5. INTANGIBLE ASSETS, NET

On June 12, 2023, we entered into an Asset Purchase Agreement with Bed Bath & Beyond Inc. ("BBBY"), and certain subsidiaries, to acquire certain intellectual property related to the Bed Bath & Beyond banner from BBBY. On June 27, 2023, under a Bankruptcy Court supervised process, the U.S. Bankruptcy Court for the District of New Jersey approved the sale of the assets to the Company and on June 28, 2023, BBBY delivered the intellectual property assets via an Intellectual Property Assignment Agreement. The total purchase price, inclusive of direct acquisition-related expenses totaled $25.6 million which has been allocated to two major asset categories consisting of $21.8 million for trade names with an indefinite useful life and $3.8 million for customers lists with an estimated useful life of five years.

Intangible assets, net consist of the following (in thousands):


	September 30, 2023		December 31, 2022
Intangible assets subject to amortization, gross (1)	$	5,331	$	1,552
Less: accumulated amortization of intangible assets	(1,833)		(1,543)
Intangible assets subject to amortization, net	3,498		9
Intangible assets not subject to amortization	22,003		—
Total intangible assets, net	$	25,501	$	9

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(1) At September 30, 2023, the weighted average remaining useful life for intangible assets subject to amortization, gross was 4.8 years.