(Reuters) - Best Buy Co Inc (BBY.N) founder Richard Schulze may scrap a buyout bid for the company and instead line up investors to take a minority position in the electronics retailer, the Wall Street Journal reported on Wednesday.
Best Buy shares plunged sharply on the initial report, shedding more than 10 percent of their value, although they regained some ground and closed just 2 percent lower.
The paper, citing sources familiar with the matter, said Schulze had been unable to get enough support from banks to finance a deal to take the company private.
Instead, it reported, he is in preliminary talks with investors to take a minority stake in the retailer that would be separate from Schulze's own existing position of about 20 percent.
Best Buy declined to comment on the report. (Reporting By Ben Berkowitz. Editing by Andre Grenon)
The move was so fast, I couldn't react in time. Incredible how it dropped from 16 to 13.83 in seconds. As I reached to cover, it already bounced back more than a dollar. And still not a word from the company.......