Liberty Media has invested $204 million in Barnes & Noble, purchasing “newly issued convertible preferred stock.” The deal is substantially less than the firm’s initial $1 billion bid to acquire the bookseller.
Here’s more about the investment: “Under the terms of the strategic investment, Liberty purchased preferred stock, convertible into approximately 12 million shares or 16.6% (after giving effect to the issuance) of the Company’s common stock at a price of $17 per share, and with a dividend rate of 7.75% per annum to be paid quarterly. The investment, which was approved by Barnes & Noble’s board of directors following a recommendation made by its Special Committee, closed today.”
The acquisition discussion has ended with this investment. Liberty Media owns a large portfolio of media interests, including: QVC, Provide Commerce, Backcountry.com, Celebrate Interactive, Bodybuilding.com, Evite, and Expedia.