Circuit City Acquisitions
Circuit City to Acquire InterTAN, MusicNow
RICHMOND, Va. (April 1, 2004) - Circuit City Stores announced two strategic acquisitions yesterday. The retailer has agreed to buy Canadian consumer electronics chain InterTAN for a price tag of $284 million, as well as digital service provider MusicNow.
The deal with interTAN will give Circuit City a Canadian physical presence The tender offer is slated for completion by the second quarter, and Circuit City plans to introduce InterTAN�s private-label products into its Superstores by Fall 2004.
"InterTAN will bring to Circuit City a management team with extensive sourcing experience in private-label merchandise and creative in-store merchandising capabilities," said W. Alan McCollough, chairman, president, and CEO here at Circuit City. "We believe that this transaction will enable us to quickly expand the offering in our Circuit City Superstores and further our efforts to provide complete consumer electronics solutions to our customers. In addition, we are excited to enter the Canadian market through a company that has a proven track record.
The transaction with Chicago-based MusicNow is expected to close in April 2004. �We�re thrilled to be gaining the knowledge and expertise in the digital media space," said Fiona Dias, president of Circuit City Direct. "Circuit City will integrate MusicNow's platform into Circuit City's Web site at circuitcity.com as well as our nearly 600 Superstores across the country.�
Posted by Craig at April 1, 2004 02:27 PM