by Christopher Freeburn | December 13, 2012 11:19 am
Richard Schulze’s effort to regain control of Best Buy (NYSE:BBY) may finally lead to a formal offer, possibly by week’s end.
The founder of the struggling big box electronics and appliance retailer could submit a full-financed bid of between $5 billion and $6 billion for the company on Friday, the Star Tribune notes.
Shares of Best Buy rose almost 2% in Thursday trading as investors awaited the new offer.
Under an agreement he made with Best Buy’s management earlier this year, Schulze has until Sunday to make a formal offer for the company. The deal between the retailer and its founder came after Best Buy rejected an earlier offer.
The new offer will be significantly less than his previous proposal, which valued the retail chain at between $24 and $26 a share. The company’s stock has tumbled 45% since June.
If Best Buy rejects a new bid from Schulze, he can submit another offer next year.
Schulze was forced to step down as chairman at Best Buy in May after it emerged that he knew about an improper relationship between former CEO Brian Dunn and a female employee, but did not inform the board of directors.
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