Columbia House Parent Makes Offer to Buy Borders1 Jul, 2011 By: Erik Gruenwedel
Direct Brands, parent of mail-order disc service Columbia House, among other services, has put in an offer to purchase bankrupt Borders Group Inc.
The deal includes the Michigan-based bookstore company’s assets for $215.1 million plus assuming $220 million of liabilities.
The transaction is subject to bankruptcy court approval.
Mike Edwards, Borders Group president, said, “We look forward to working with a supportive partner as we continue to execute on our turnaround strategy.”
Borders filed Chapter 11 in February, announcing plans at the time to close about a third of its stores.
Meanwhile, Direct Brands July 1 launched the first-ever consumer Blu-ray Disc Club (www.columbiahouse.com/blu-ray) that allows members to purchase up to two catalog movies a month for $5.99 each from Columbia House.