Best Buy Store Closing

Best Buy founder Richard Schulze is offering between $24 and $26 per share for the big-box retailer. Schulze stepped down from his position as chairman of the board earlier this year.

“I have been actively exploring all available options for my ownership stake,” Schulze said. “That exploration has reinforced my belief that bold and extensive changes are needed for Best Buy to return to market leadership and has led me to the conclusion that the company’s best chance for renewed success will be to implement these changes under a different ownership structure. With the board’s agreement that I may work together with potential private equity partners and former senior executives, and with timely access to relevant non-public company information, I am confident that the necessary due diligence could be completed expeditiously and a binding agreement to acquire Best Buy could be reached quickly. I am prepared to enter into a customary confidentiality agreement and begin work immediately.”

Schulze is working with Credit Suisse Group AG on the deal Bloomberg said. Schulze’s offer is 36 percent more than the company’s closing share price on Friday and gives the company a valuation of $8.5 billion, Bloomberg explained.

Best Buy has struggled throughout the last year and announced in March that it was closing 50 stores in the United States and laying off 400 of its employees. The company is trying a new retail strategy in which several of its new stores will be formatted similarly to Apple Store locations. The big box retailer hopes that the new layouts will attract more customers and will also feature a new “Solution Central” kiosk that’s similar to Apple’s Genius Bar.

[via Bloomberg]