Best Buy shares up; former chairman said to be recruiting executives

RICHFIELD, Minn., Mon Jul 30, 2012 – Shares of Best Buy Co. Inc. rose 2.5 percent on Monday after a published report that founder and former Chairman Richard Schulze has been recruiting executives to lead the electronics retailer if he succeeds in a bid to take the company private. Bloomberg Businessweek reported on Monday that the executives Schulze is trying to recruit include a former Best Buy CEO, Brad Anderson.
Schulze has been working with banks, including Credit Suisse, to explore a potential private takeover of the world’s largest consumer electronics retailer, sources have told Reuters.
Schulze resigned from the company’s board in June and said he was exploring options for his ownership stake. He lost the chairmanship after a probe by a board committee found he had failed to tell the board about allegations of personal misconduct by then-CEO Brian Dunn.
A representative for Schulze declined to comment on the Bloomberg Businessweek story. A representative for Best Buy could not be reached for comment.
Best Buy shares were up 45 cents at $18.21 in early trading on the New York Stock Exchange.
Best Buy has lost business due to the tendency of consumers to use its stores as a “showroom” to try out electronic products that they then purchase for less money elsewhere, often from online retailers such as
The company has been closing stores, cutting jobs and trying out a new store format to try to improve its business.