Fashion
Bankrupt electronics chain RadioShack is hoping to get $20 million for its brand in an auction scheduled for March 23.
The move to split the brand from its other assets will allow a buyer to bid on the brand without being forced to buy store leases.
The lead bidder is hedge fund Standard General LP, which is already RadioShack’s largest shareholder. The company has already committed to buying a many as 2000 of the chain’s 4000 store leases across the US.
US Bankruptcy Judge Brendan Shannon in Delaware has approved the brand sale plan, with the lead bid set at $20 million.
Standard General plans to save the RadioShack business by co-locating many stores with Sprint Corp, a wireless telco carrier.
Meanwhile, video game retailer GameStop Corp has lodged a bid for some of the 4000 store leases, largely as a means to expand its retail footprint for its Spring Communications wireless unit.
