Quote:
Originally Posted by Andrew H.
Are you sure he'll put in working capital? Buying 75% of the shares will give money to the shareholders, but none to the company.
|
No guarantee whatsoever; that's why I used the word "potential".
Malone's offer includes assuming $450 million of B&N outstanding debt, in addition to the purchase of the shares from existing shareholders (meaning the Riggio family get $0 since the deal requires them to hold their shares and keep working the business).
It's not clear exactly what Malone could so with the company, given his other assets, unless there was another pool of money ready to accelerate projects like the expansion of Nook penetration -- possibly even outside the US.