Borders to Sell Aussie, New Zealand Business
Ann Arbor, Mich. Borders Group Inc. said it will sell its businesses in Australia, New Zealand and Singapore to fellow book retailer A&R Whitcoulls and private-equity firm Pacific Equity Partners for as much as $104 million.
Borders said Thursday the deal is expected to close next week.
The company announced in March 2007 that it was exploring a possible sale of those businesses, which include 30 Borders superstores. Since then, Borders has been considering whether to sell off the entire company.
Borders said it will get about $90 million for the businesses in Australia, New Zealand and Singapore, plus deferred payments of up to about $14 million next year if performance targets are met.
A&R Whitcoulls will have the right to use the Borders brand.