The U.S. online shopping world's biggest day is here, but will strong web sales on Black Friday and Thanksgiving cut into Cyber Monday's take?
Hilco Trading Co. Inc., which teamed with Gordon Brothers Brands LLC to buy the intellectual property of Linens ‘N Things, including its web site, is bidding to acquire the Circuit City name and web site, a Hilco executive tells Internet Retailer.
The bricks and mortar side of Circuit City Stores Inc. will unplug for good in March, but it’s likely the e-commerce site will live on.
Hilco Trading Co. Inc., which recently teamed with Gordon Brothers Brands LLC to purchase the intellectual property assets of Linens ‘N Things, including its web site, is putting in a bid to acquire Circuit City’s name and e-commerce assets, Hilco executive vice president Richard L. Kaye tells Internet Retailer. “I can only confirm we are bidding,” says Kaye.
Any bid for the online assets of Circuit City, No.16 in the Internet Retailer Top 500 Guide, must be approved by the U.S. Bankruptcy Court for the Eastern District of Virginia. Circuit City, which filed for bankruptcy last fall, will close all of its nearly 600 stores in March. The consumer electronics retailer took down its e-commerce site in January.
Hilco isn’t releasing details of its bid. It’s also unclear if there are other bidders or when the bankruptcy court will make a final ruling. Circuit City’s online brand might well have some value. Even while Circuit City’s comparable store sales were decreasing by about 14% each quarter, its e-commerce site was still drawing about 11 million unique visitors per month, says Nielsen Online. CircuitCity.com generated web sales of $1.4 billion in 2007.
Circuit City also wants to find a buyer for its e-commerce assets. In another filing, Circuit City asked the bankruptcy court to approve bonus money of about $2.3 million to entice some executives to stay through the final liquidation and oversee any sale of the Circuit City brand, web site and intellectual property.