In March 2008, Borders Group announced the intention to sell the chain because of financial difficulties. Borders Books was rumored to have approached Barnes & Noble in hopes of a buyout. The chain was in debt, having increased its financial instability by borrowing US$42.5 million in March from Pershing Square Capital Management, the company's major stockholder, to keep the company running through the remainder of the fiscal year. The loan was said to have a very high interest rate of 12.5%, which meant that the chain would have to post a significant profit to stay afloat in the future. Following the announcement of the loan, Borders's shares dropped 28.6% to $5.07/share. The shares continued to drop throughout the year, and as of December 11, 2009, Borders stocks were trading at $1.30 on the NYSE, which was up almost a point from a low of $0.530 on January 28, 2009.
in march 2008 borders group announced the intention to sell the chain because of financial difficulties borders books was rumored to have approached barnes & noble in hopes of a buyout the chain was in debt having increased its financial instability by borrowing us$425 million in march from pershing square capital management the company's major stockholder to keep the company running through the remainder of the fiscal year the loan was said to have a very high interest rate of 125% which meant that the chain would have to post a significant profit to stay afloat in the future following the announcement of the loan borders's shares dropped 286% to $507/share the shares continued to drop throughout the year and as of december 11 2009 borders stocks were trading at $130 on the nyse which was up almost a point from a low of $0530 on january 28 2009