Build-A-Bear up for sale?

Ronnie Dungan

By Ronnie Dungan

December 7th 2010 at 11:12AM
Build-A-Bear up for sale?

US sources say stuffed bear specialist is now looking for a buyer.

The chain of make-your-own stuffed animal stores, is seeking a buyer and has approached private-equity firms, unnamed sources told Bloomberg.

Barclays Capital is advising the firm on the sale, according to the story.

Build-A-Bear declined to comment, but offered: "It is the company's long-standing procedure that we do not comment on rumour or speculation."

Build-A-Bear's stock (NYSE: BBW) jumped 33 per cent to close at $7.91 a share Friday on the back of the news.

The firm narrowed losses in the third quarter to nearly $1.4 million, compared with a loss of nearly $4.8 million a year earlier. It reported revenue of more than $100.1 million for the quarter ended October 2nd, up nine per cent from $92.3 million a year ago.

Leading financial website The Motley Fool has an excellent article here, speculating on who might buy the retailer.