Barnes and Noble scouting for a buyer

The move comes midst increased pressure from activist investor, Sandell Asset Management Corp.

As per a report appearing in the Wall Street Journal, Sandell Asset Management Corp, an activist investor, is pushing Barnes & Noble to try and sell itself saying the bookstore chain will benefit from a new owner.

According to sources familiar with the matter at hand, Sandell has recently acquired a stake in Barnes & Noble and is among its top 10 investors.

WSJ has reported citing a letter from Sandell that Barnes & Noble has the potential to attract bid north of $12 a share.

Based on its Monday’s closing share price of $7.10, its market valuation is around $515 million.

In 2011, Liberty Media Corp had wanted to acquire Barnes & Noble for $1.02 billion. It however did not follow through with its offer and instead ended up buying its preferred shares which it could convert into a stake, later.

However in 2014, Liberty sold almost all its entire stake, ending a nearly three-year speculation that Barnes & Noble may emerge as a dominant e-books seller.

Sandell and Barnes & Noble were not immediately available for comment outside regular business hours.


Categories: Creativity, Entrepreneurship, HR & Organization, Strategy

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