Best Buy brings Napster in from the cold
Still keeping its head above water in spite of the US economic downturn, Best Buy has evidently decided to make a strategic move into a new business area by purchasing legendary online music service Napster - which hasn't been doing all that well since it went legit.
Best Buy has announced it will acquire troubled online music store Napster for US$121 million.
The deal includes $67 million of cash on Napster's balance sheet and values the Los Angeles-based Internet music store at roughly twice its Sept. 12 closing stock price.
Richfield, Minnesota-based Best Buy, one of the largest retail chains of consumer electronics goods, declined to comment.