Barnes & Noble May Be Close to a Sale Say Sources


 
 
12:14 06/07/2019











One of the biggest booksellers on the planet may be about to sell itself.
Barnes & Noble BKS  is nearing a sale with Elliott Management Corp. according to rumors.



Barnes & Noble, which has the largest number of retail outlets in the United States, saw its shares move up 36% on the news. It was the biggest gain for the stock since the year 2012.



According to a Bloomberg news article citing people familiar with the process, Barnes & Noble is nearing a deal to sell itself to Elliott Management, an American investment management firm.



The sources have said that two parties have emerged as the most likely buyers for the book retailer: Elliott and Readerlink LLC, a private book distributor based in Oak Brook, Illinois.



One source revealed that Elliott's offer is looking more attractive. The sources also said that Chairman Leonard Riggio, the company’s largest shareholder, would be part of the Readerlink deal.



According to the Financial Times, Elliott would offer $6.50 a share in a deal that values the chain at $476 million.



It was this past October that Barnes & Noble had said that it was considering a sale to several interested parties, including Riggio, which later withdrew its interest.



At the time the company said that it had received “expressions of interest” from “multiple parties,” including its Chairman Leonard Riggio, who founded the company in 1965.



Riggio “has committed to support and vote his shares in favor of any transaction recommended by the special committee,” Barnes & Noble said.



The sources have noted that these discussions are ongoing and the Barnes & Noble could still choose not to pursue a sale.








This article has been provided by a Chasing Markets contributor. All content submitted by this author represent their personal opinions, and should be considered as such for entertainment purpose only. All opinions expressed are those of the writer, and may not necessarily represent fact, opinions, or bias of Chasing Markets.
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