Barnes & Noble's new chapter: Its sale to hedge fund Elliott Management

[Eugene]

Source: CBS/AP

Barnes & Noble's new chapter: Its sale to hedge fund Elliott Management

JUNE 7, 2019 / 9:53 AM / CBS/AP

Barnes & Noble, the one-time bookselling giant that lost customers to Amazon.com and other online rivals, is being acquired by hedge fund Elliott Management for $476 million. Elliott, the owner of U.K. book chain Waterstones, said it plans to invest in Barnes & Noble.


The national chain that many blamed for the demise of independent bookstores has been ravaged by Amazon.com and other online sellers. In March, it warned of lower-than-expected profits, sending its stock plunging to below the price of a paperback book.

The purchase by the hedge fund comes after Barnes & Noble in October said that it might put itself up for sale after it was approached by a number of potential buyers. Those possible buyers including founder Leonard Riggio who opened Barnes & Noble stores across the country and turned it into a superstore.

Elliott Management said it plans to invest in Barnes & Noble, adding that Waterstones CEO James Daunt will also become the CEO of Barnes & Noble. In a statement, the companies said Waterstones had returned to "sustainable profitability" and sales growth.

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Read more: https://www.cbsnews.com/news/barnes-noble-buyout-barnes-and-noble-sold-to-hedge-fund-elliott-management/

[democratisphere]

1. It will be interesting to see what the new owners do to make

B & N viable again. Conventional books sales suck horribly. Hope they have a lot more in their bag of tricks. The US market and UK market are totally different places. I wish them well at saving the company.

[Beakybird]

2. Maybe host literacy classes.

[matt819]

3. Don't most of these acquisitions

Result in eventual closure, with the hedge funds the only winners? Adios B&N.