updated 04:40 pm EDT, Mon April 13, 2009
Systemax May Get C City
PC builder and retailer Systemax may revive the Circuit City name through a deal, a court filing shows (PDF). Already the owner of TigerDirect and recently CompUSA stores, the company is in the running for bids on Circuit City's name before May 11th and would pay as much as $6.5 million to acquire both the brand name itself and the rights to run the Circuit City website. It's not known which other companies are in the running or how likely they are to win a bid.
Systemax has lately been taking aggressive steps into mainstream retail and has restarted 30 CompUSA stores which theoretically promise prices as good as online and with less restricted demo units than close competitors like Best Buy. While not officially stated, it's assumed Systemax hopes to gain a position as a larger retailer by taking advantage of weaker firms.
Electronics stores have been particularly suffering under the current US economic conditions and have seen both major stores like Circuit City and CompUSA declare bankruptcy in addition to smaller retailers like Ritz Camera. [via TWICE]