New York -- G Asset Management, LLC ("GAM"), a private investment management firm, has made a proposal to acquire 51% of Barnes & Noble Inc., valuing the company at $22 per share, or about $1.3 billion. This is a 10% increase on the $20 per share offer G Asset made for 51% of Barnes & Noble in November 2013.
Alternatively, G Asset has proposed to acquire 51% of the Nook segment, valuing the segment at $5 per share. The investment firm stated in its proposal that it was extremely confident that if the Nook segment is separated from the profitable retail and college business, substantial shareholder value would be created. In August 2013, Barnes & Noble said it would not split its retail and e-reader businesses.
G Asset has previously stated that it views Barnes & Noble as substantially undervalued in its current form, with the aggregate value of its key segments not reflected in its share price.
Both offers are subject to, among other conditions, the obtaining of the necessary financing, due diligence, and the negotiation and executing of definitive transaction documents.