Schulze All-In On Best Buy Deal
Best Buy founder Richard Schulze wrote a public letter to the company's board Thursday, reiterating his seriousness about mounting a takeover of the company and warning that he is "not going away."
In the letter Schulze, who resigned from the company's board earlier this year, asked for permission to perform due diligence for the purposes of the bid, while also chiding the board for publicly dismissing his initial proposal.
"All I am asking is your permission to conduct due diligence and form a group so that I can quickly be in a position to give the Board a fully financed offer for your consideration. My need for due diligence is limited to financial data and the standard corporate information necessary to secure financing," Schulze wrote in the letter, which was also issued as a press release.
"There would be no burden on management as I do not need any presentations to me or potential partners interested in investing with me in Best Buy. I am confident due diligence can be completed quickly."
Schulze also confirmed that his offer was for $24.00 to $26.00 per share in cash, that company veterans Brad Anderson and Allen Lenzmeier are part of the bid, and that he is being advised by Credit Suisse.
"The transaction I am proposing would be a “win-win” for all involved. It would deliver compelling value for shareholders through a significant cash premium, provide new opportunities for customers and create a future for Best Buy employees -- while allowing the company to take the strong actions that will be required to get back on track," he concluded.