From Publishers Weekly:
Elliott Advisors has completed its purchase of Barnes & Noble. First announced June 7, the acquisition was officially completed when more than 81% of B&N’s shares were tendered by the August 6 deadline.
As a result of the deal, B&N becomes a private company controlled by the private equity firm Elliott Advisors, which also owns the U.K. bookstore chain Waterstones. As a result of the acquisition, for which Elliott paid $6.50 per share in a deal valued at $683 million, James Daunt, head of Waterstones, will run both the U.K. chain and B&N. B&N founder Len Riggio will have no formal role in company.
In announcing the completion of the deal, Elliot said that Daunt, while continuing to serve as Waterstones CEO, will relocate from London to New York. Daunt has acknowledged that he will face a learning curving on how the American bookselling business works.
In a prepared statement, Daunt said: “This is a very good day for bookselling. Barnes & Noble is the greatest of all bookstore names and will now benefit from the support of an owner committed to physical bookselling. With investment and concentration on the core principles of good bookselling, the prospects for this extraordinary company are bright. I look forward very much to working with the booksellers at Barnes & Noble.”
In an interview with PW at the time the purchase announcement was made, Daunt said that Elliott expects to sell B&N at some point, but before they can do that, they will need to make the bookseller “shinier, bigger, and better.” To accomplish that goal, Elliott will need to make some investments.”The simple fact is that B&N needs money: people want to shop in places that look modern, clean, and inviting. The B&N stores look tired and need a little botox.”
Link to the rest at Publishers Weekly
PG says you won’t have Len Riggio to kick around anymore.
The new CEO is arriving from England and undoubtedly has sizeable financial incentives to quickly pretty up BN so it can be sold to yet another owner within a few years.
Talented younger persons seeking a satisfying and financially-rewarding career may wish to look elsewhere. The new boss is going to be the old boss fairly quickly and there’s no assurance that his replacement will know much more than Daunt does about how to compete against Amazon in the United States.