Tuesday, April 15, 2008
BBI Bids for CC, Everyone Scratches Head
In the most unexpected news to hit the tape since the Bear Stearns implosion, Blockbuster is bidding for Circuit City. I can't think of a stranger marriage proposition since that old guy tied the knot with Anna Nicole Smith. Why would Blockbuster, a business that is slowly bleeding to death, make a play for Circuit City, a business that is quickly bleeding to death? Only Carl Icahn knows for sure, as he is expected to help finance the acquisition. M&A is all about "synergies", so if anyone out there actually understands the synergies of this bizarre deal, feel free to explain it to me. My personal view maintains that BBI and CC are attempting to streamline their bankruptcy paperwork by submitting one bankruptcy filing, rather than two.
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3 comments:
definitely the two skeebiest stores out there. they give you the same feeling as when homer simpson bought the canned seaweed at the $0.99 store while marge wouldn't touch anything in there.
perhaps it's too late for them to buy Comp USA?
Porn and 60" high def...? No brainer.....
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