WDBJ7 Roanoke News and Weather NRV Lynchburg Danville | Circuit City mum on buyout at annual meeting
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RICHMOND, Va. (AP) -- Circuit City is staying mum about whether buyout is in the future for the consumer electronics retailer.
But an activist investor is predicting the announcement of a possible sale within the next month.
Mark Wattles says three companies are in the late stages of conducting due diligence in regard to buying the Richmond-based company. Wattles Capital Management holds a 6.5 percent stake in Circuit City.
He declined to identify the companies, but implied that one of those was video-rental chain Blockbuster. The Dallas-based company announced a more than $1 billion takeover bid in April with plans to create a chain that would sell electronic gadgets and rent movies and games.
But Chief Executive Philip Schoonover gave no update to investors Tuesday at Circuit City's annual shareholder meeting about the company's review of strategic alternatives.
