Stalking Horse

Systemax has announced that it has signed a 'stalking horse' agreement to purchase various assets of Circuit City's eCommerce business for $6.5mn, plus a share of the revenues generated from the utilisation of those assets over a 30 month period. The 'stalking horse' process is, in principle at least, relatively simple, but it can be a legal minefield. What it does mean is that we will have to wait awhile to see if the sale goes through.

Systemax did something similar with CompUSA in early 2008.