Barnes & Noble To Acquire Microsoft's Stake In Nook Media
Barnes & Noble, Inc. (NYSE: BKS) reported its fiscal 2015 second quarter results on Thursday morning. At the same time the company disclosed it has agreed with Microsoft Corporation (NASDAQ: MSFT) to terminate its commercial agreement related to Nook Media including any associated obligations for international content acquisition and sale.
Barnes & Noble stated that it has agreed to acquire its entire preferred interest in Nook Media from Microsoft for $62.4 million in cash and 2.7 million shares. Barnes & Noble hopes to enhance its digital business, operational and strategic flexibility.
As part of the agreement, Microsoft has been relieved of any obligation to continue to fund support and other payments set forth in previous agreements.
As a result of the announcement, Barnes & Noble expects that the completion of the potential separation of its Nook and retail businesses could occur by the end of August 2015, although it cannot offer any assurances regarding the timing.
The company will host a conference call at 10 a.m. ET on Thursday.
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