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Best Buy (BBY -3.2%) -1.3% AH, adding to the day's losses, after 5 sources tell Reuters Richard...

Best Buy (BBY -3.2%) -1.3% AH, adding to the day's losses, after 5 sources tell Reuters Richard Schulze's buyout attempt is in jeopardy thanks to financing issues. Schulze is now said to be focused on a minority investment, one that could a PIPE transaction, but investors are said to remain hesitant. Talks with P-E firms Leonard Green, Cerberus, and TPG have reportedly made little progress. Schulze is facing a Thursday deadline to deliver a buyout proposal. (Feb. 13 WSJ report) Update: Best Buy has pushed back its FQ4 report by a day to March 1 to if Schulze makes a bid.
Comments (8)
  • SoldHigh
    , contributor
    Comments (1013) | Send Message
     
    Who in their right mind would back a buyout anywhere near this price?
    26 Feb 2013, 04:52 PM Reply Like
  • jasonenfield
    , contributor
    Comments (12) | Send Message
     
    How many shares does he want to buy through that PIPE, 100 or so? He wants no part of BBY.
    26 Feb 2013, 04:56 PM Reply Like
  • lanettedonovan1
    , contributor
    Comments (31) | Send Message
     
    Please let us just get on with it. The idea that Management and the Board is giving Schultz a deadline to buy the company is nonsense. What they mean is a deadline to try to get a cash infusion before they have to liquidate assets and fire employees like crazy and Schultz's 20% interest in company goes from $1.5 billion to zero. There are no other bidders.
    26 Feb 2013, 05:24 PM Reply Like
  • ML610
    , contributor
    Comments (89) | Send Message
     
    Why would they be liquidating assets?
    26 Feb 2013, 06:42 PM Reply Like
  • lanettedonovan1
    , contributor
    Comments (31) | Send Message
     
    Read the SEC filings 10K and 10Qs
    27 Feb 2013, 08:06 AM Reply Like
  • ML610
    , contributor
    Comments (89) | Send Message
     
    Where do you see that?
    27 Feb 2013, 10:01 AM Reply Like
  • lanettedonovan1
    , contributor
    Comments (31) | Send Message
     
    hi, ML610

     

    Need to sell assets is to raise cash and show lenders they can pay debt. BBY can divest international operations and HQ bldg for example. SEC FILINGS can be found on the BBY company website in the Investors relations section.
    28 Feb 2013, 07:56 AM Reply Like
  • ML610
    , contributor
    Comments (89) | Send Message
     
    lanette -

     

    Perhaps you should read those sec filings that you are pointing to. As usual, your comments on best buy are nonsensical and rooted in no fact whatsoever.

     

    BBY has a 2013 maturity which was pre-funded and will be repaid at maturity. They have two other bonds outstanding which come due in 2016 and 2021.

     

    They also have a bank facility with $1B in access.

     

    So again, where do you see them selling assets to raise cash and "show" lenders they can pay debt. Complete nonsense.
    28 Feb 2013, 08:39 AM Reply Like
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