Renewable Energy

Barnes & Noble investor says retailer worth more than Elliott's bid

Credit: REUTERS/RICK WILKING

Barnes & Noble Inc investor Richard Schottenfeld said on Thursday the bookstore chain is worth more than Elliott Management's recent offer and he may engage in discussions with the company's board regarding its sale.

June 13 (Reuters) - Barnes & Noble Inc BKS.N investor Richard Schottenfeld said on Thursday the bookstore chain is worth more than Elliott Management's recent offer and he may engage in discussions with the company's board regarding its sale.

Barnes & Noble, one of the leading bookstores in the United States until online retailers such as Amazon.com Inc AMZN.O took over, was offered a take-private deal for $475.8 million by Elliott Management earlier this month.

Shortly after, book distribution company Readerlink LLC was also said to be working towards making a bid for the company that would top Elliott's agreed price of $6.50 per share, according to media reports.

Schottenfeld, who had a 3.4% stake in the company as of June 7, is among the top ten investors in the retailer.

He also urged the company's special committee to reevaluate all offers and consider the superior bid.

Elliott has a "keep-shop" provision that says if the company strikes a deal with a third party before midnight Thursday, the hedge fund would be entitled to a payment of up to $4 million.

Barnes & Noble declined to comment.

Shares of the company were up nearly 1 percent in late morning trade.

(Reporting by Nivedita Balu in Bengaluru; Editing by Maju Samuel)

((Nivedita.Balu@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 6749 4822; Reuters Messaging: Nivedita.Balu.thomsonreuters.com@reuters.net))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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