Best Buy Completes Carphone Warehouse Investment
New York City Best Buy Co. said Monday that its investment in U.K. mobile-phone retailer The Carphone Warehouse is now complete.
Best Buy paid $1.1 billion in cash on hand and $1 billion of debt proceeds for The Carphone Warehouse.
Debt proceeds are from $500 million in bank borrowings and $500 million in five-year senior notes.
The closing of the deal creates a new company made up of The Carphone Warehouse’s retail and mobile-service businesses.
The Carphone Warehouse and Best Buy each now own 50% of the new company. The Carphone Warehouse continues to own all of its fixed line telecoms business in the U.K. and its share of the Virgin Mobile France joint venture.
NEW YORK InterActiveCorp, which owns HSN, said that it expects the spin-off of its Cornerstone Brands catalog business to result in an estimated $300 million in goodwill impairment and an operating loss in the first half of 2008, according to a Reuters report.
Cornerstone will become part of a new unit that will also include HSN under a restructuring plan to be completed by early August, the report said.
Charming Shoppes reports board changes
BENSALEM, Pa. Charming Shoppes announced that at its annual meeting of shareholders held today, shareholders re-elected Dorrit Bern, the company’s president and ceo, and Alan Rosskamm to the board of directors, and elected Arnaud Ajdler, Michael Appel, Richard Bennet III and Michael Goldstein as new directors to the company.