Systemax snags Circuit City

Consultancy firm reveals outcome of blind auction; deal set to be rubber stamped today
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Systemax is set to acquire the Circuit City online business and intellectual property, after it won the blind auction for the assets of the failed US retailer according to Reuters.

The agency was told of the result by the Steambank, intellectual property consulting firm retained by Circuit City. According to the company, the deal simply requires approval by the US Bankruptcy Court, which is expected later today.

The retailer previously submitted a bid of $6.5m in cash, as reported by PCR. It is unclear if that is what it paid, or whether it had to up its bid.

The news comes as Systemax announced quarterly profits of $8.7m. Sales across the group were up just under $20m, from $724.7m in 2008, to $742.3m. Sales were boosted by its other recent acquisition of CompUSA.

In Europe, where it operates the Misco brand, sakes declined by 19 per cent to $203.9 due to currency fluctuations. In local currencies, sales were flat.

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