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Nine Inch Nails
Moderator
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Best Buy Founder Offers $26 a Share to Buy RetailerRichard Schulze, who stepped down
Best Buy Co. founder Richard Schulze. Source: Best Buy Co. via Bloomberg Credit Suisse Group AG, Schulze’s financial adviser, is confident it can obtain financing for an offer, according to a letter sent to the board today. The offer is at least 36 percent more than Best Buy’s closing price Aug. 3, and the midpoint of the range gives the company an equity value of $8.5 billion. Schulze, who held more than 20 percent of Best Buy as of June, plans to contribute $1 billion in equity from that stake, the letter shows. The rest of the money will come from what the letter calls “premier private-equity firms with deep experience in retail who are interested in a possible acquisition of Best Buy” and debt financing. The Richfield, Minnesota-based electronics chain had about $1.7 billion in long-term debt as of May 5, according to regulatory filings. http://www.bloomberg.com/news/2012-0...-retailer.html |
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