Barnes & Noble Is Open To Being Acquired, Stock Rises 20%

Barnes & Noble, Inc (NYSE: BKS) announced Wednesday afternoon it has appointed a Special Committee to review strategic alternatives.

The company said it's received interest from "multiple parties," including company chairman Leonard Riggio, who has pledged to vote his shares in favor of any transaction the special committee recommends.

In the summer of 2017, Sandell Asset Management pushed Barnes & Noble to explore a sale. Sandell that fall offered to take the bookseller private itself at $9 per share, but Riggio flatly refused to tender his shares in any such deal.

Why Now?

In Wednesday's announcement, Barnes & Noble also revealed a party or parties has begun quickly accumulating the stock. The company has adopted a short-term Shareholder Rights Plan in response to "maximize the likelihood" of a successful strategic review.

Shares of Barnes & Noble were trading up 21 percent at $6.61 in Wednesday's after-hours session.

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Photo credit: Mike Kalasnik, Flickr