Ackman Offers Financing for Borders Buyout of Barnes & Noble
The bid is a 20.5% premium to Barnes & Noble's Friday close of $13.28. The offer price puts a total value of Barnes & Noble at about $963.2 million.
Ackman, an activist investor who tends to take large stakes in a few companies, also reported he owns a 37.3% stake in Borders, up from 31% as of May. Pershing added that it would be prepared to finance, on mutually acceptable terms, an offer for mixed stock and cash consideration.
Barnes & Noble shares dropped 30% this year as of Friday's close. In premarket trading BKS shares jumped over 19%. Borders shares fell some 8.5% as of Friday's close. In premarket trading BGP shares jumped over 16%.