Barnes & Noble
agreed to acquire
Barnes & Noble.com
for $164 million in a combination of cash and notes, or $2.80 a share.
The companies expect to close the transaction within 45 days. Barnes & Noble said the acquisition will reduce its earnings by about 11 cents a share for the rest of the fiscal year ending Jan. 31, 2004.
Analysts polled by Thomson First Call expect Barnes & Noble to earn $1.91 a share in fiscal 2004.
Barnes & Noble said Barnes & Noble.com remains on track to report positive earnings before interest, taxes, depreciation and amortization for the fourth quarter of this year and 2004.
Barnes & Noble and Bertelsmann, a German media company, formed their venture to run Barnes & Noble.com in late 1998.
Shares of Barnes & Noble ended at $25.32 on the
New York Stock Exchange
. Barnes & Noble.com closed
trading at $2.04.