Barnes & Noble considering acquisition interest from founder

NEW YORK: Barnes & Noble Inc, facing management upheaval and shrinking revenue, is weighing acquisition interest from several parties, including chairman Len Riggio.

The company said it created a special board committee to consider its strategic alternatives, sending the company’s shares up as much as 25 per cent to US$6.82 (RM28.30) in afterhours trading. The book retailer also enacted a takeover defence plan, after observing “rapid material” purchases of its stock by an unidentified investor.

Riggio, its founder, largest shareholder and acting chief executive officer, has previously expressed interest in buying, only to back off. Because of the stock’s declines, its market capitalisation is now short of US$400 million.