The Wall Street Journal is reporting that Best Buy may be going private. Sources close to founder Richard Schulze say his preference is to take the company private rather than taking other options available. Schulze, who started the electronics retailer in 1966, is the largest shareholder with a 20 percent stake in the company.
Schulze, abruptly resigned from the company’s board on June 7th (after saying he would resign June 21st) amidst his knowledge of former Best Buy CEO Brian Dunn‘s inappropriate relationship. At the time of his resignation he said in statement “There is an urgent need for Best Buy to reinvigorate growth by reconnecting with today’s customers and building pathways to the next generation of consumers.” In the same statement also mentioned his intent to explore his options for his ownership stake independent of the board’s. Best Buy has gone through significant change recently including layoffs and store closures.
News of today’s report has lead to a 4.7 percent jump in the company’s stock, to close at $19.37.