Borders silent on sale possibilities

ANN ARBOR, Mich. Amidst talks of a possible sale, Borders announced that it is in the middle of a strategic alternatives process and has not engaged in substantive discussions regarding any specific transaction to date. The company said it does not intend to make any further comment while the process is ongoing.

Reportedly, Barnes & Noble is mulling over the idea of buying the retailer and has put together a team to study the feasibility of a merger.

Borders Group reported Monday, April 7, that it has agreed to revised financing deal with Pershing Square Capital Management. The new agreement carries a lower interest rate of 9.8% on the $42.5 million senior secured term loan. The original deal called for a 12.5% interest rate.