G Asset Management also formulated an alternate proposal in which it would acquire 51% of the Nook segment for $5 per share. The firm is “extremely confident that if the Nook segment is separated from the profitable retail and college business, substantial shareholder value would be created,” according to a company press release. The investment firm also indicated that Barnes & Noble is “substantially undervalued in its current form.”
Both offers are subject to several conditions, including the ability to obtain necessary financing, due diligence, and the negotiation and the execution of definitive transaction documents.
This is not the first time G Asset Management initiated business conversations with the book and media chain. In November 2013, the firm extended an offer to acquire 51% of the entire Barnes & Noble business for $20 per share.