Yesterday Barnes & Noble revealed a bid from Liberty Media to buy the bookseller for $17 a share–a cash transaction worth a billion dollars. Following the news, B&N stock has ranged between $17 and $18 a share all day–a nearly 28 percent increase.
Helmed by John Malone, Liberty Media owns a large portfolio of media interests, including: QVC, Provide Commerce, Backcountry.com, Celebrate Interactive, Bodybuilding.com, Evite, and Expedia. Wall Street Journal writer Shira Ovide described the surprising offer with one word: “Insane!”
Here’s an excerpt from the release: “the Special Committee of its Board of Directors has received a proposal from Liberty Media to acquire the Company at a price of $17 per share in cash. The proposal is subject to, among other things, the signing of a definitive purchase agreement, customary closing conditions, such as the receipt of regulatory and shareholder approvals, and receipt of acceptable debt financing. The proposal states that it is contingent on the participation of founding chairman Leonard Riggio, both in terms of his continuing equity ownership and his continuing role in management.” (Via Sarah Weinman)
Editor’s Note: This post was updated as the story evolved.