Founder Schulze May Delay, Adjust Bid for Best Buy (BBY)

November 9, 2012 9:30 AM EST
Best Buy (NYSE: BBY) shares are ticking higher Friday following reports out of the U.K. unit of Reuters that founder Richard Schulze may come in below his intended bid of about $8 billion and that that bid might not happen until the start of next year.

Reuters notes that Schulze has performed most of his due diligence and has formed a business plan, his efforts now focus solely on securing financing for a firm bid. He may be able to work with the likes of Apollo Global, TPG Capital, and Leonard Green, with Cerberus Capital no longer in the running, sources said.

Since Schulze hinted at a bid of $24 to $25 per share for the big box retailer, Best Buy has fallen about 24 percent to its current level in the low-$15 range, for a market cap of about $5.14 billion. The new price point might be a factor in Schulze's incoming bid; his first range would equal about $10.9 billion including debt.

Ahead of the bell, Best Buy is up about 0.9 percent.

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