Liberty Media sells stake in Barnes & Noble
Liberty Media Corp has cut down its holdings in Barnes & Noble Inc. by ninety percent. The move was after three years billionaire John Malone’s company invested in the US bookstore retailer. Barnes & Noble was known for its e-reader Nook.
The shares of Barnes & Noble slumped 10.7 percent following the announcement of Liberty to sell its stake in the company. Shares were recorded to be down at 1.66 percent from 16.6 percent, a report from Reuters said. Liberty bought the company in 2012 through preferred stock investment.
Liberty did not disclose information regarding how much it would price the deal. It did not also name who are the potential buyers but Liberty said it was selling a controlling stake in Barnes & Noble to institutional investors.
In 2011, Liberty Media bought Barnes & Noble in a deal valued USD1 billion. However, the venture did not work after the bookstore retailer faced tough rivals in the market including Apple’s iPad and Amazon’s Kindle.