It seems that Dell (NASDAQ:DELL) is not the only company considering a move to the private sector, as Best Buy’s (NYSE:BBY) founder Richard Schulze is reportedly making an effort to buy back his former company from the public market.
However, Reuters is reporting that Schulze’s plan has hit some snags, as he searches for minority investments to take a non-controlling stake in the company. Minority investments could take the form of a private investment in public equity (PIPE) transaction, and is often used by small and mid-cap firms that have difficulty raising capital in public markets. Private equity firms typically get stock at a discount to the public market valuation.
It was noted that the investors being tapped to help move Best Buy private again are having a hard time putting money behind the company, which has had some difficulties in the past maintaining market share against online competition, like Amazon (NASDAQ:AMZN).